Where to put your money....

So, I've been talking alot about sneaky ways to get the most out of your dollar, and occasionally I will mention where I think the best place is to put that extra money might be.  Of course (of course!) this is assuming that you have money to invest, which means you have an ample amount of savings (at least three months' worth of living expenses), you have ZERO credit card debt (as we've all agreed you're not making any money if you're paying 18% on credit cards and fees), and you have money left over.  Should you just keep banking it, with APYs on savings accounts falling on a daily basis?  

 

Here are a few things you could do, if you are so inclined.  Actually, these are just some things I am doing-- do not take this as me giving you financial advice-- just passing on information.

 

--Dollar Cost Average by buying stock for cheap.   I know, people are scared of the stock market right now, and it definitely is not the place for you if you can't afford to keep your money in there for the long term.  But, for stocks you already own, this might be a good time to get your Dollar Cost Average down by buying some more of it while it's cheap.  Right now I'm reviewing my portfolio to see if there's anything I bought in 2005 that I can supplement, and I'm focusing mainly on concrete things like consumer staples and energy, just because I think those things are going to keep being used in the future.  To answer your next question, no, I am not applying this philosophy to financial institution stock-- I have some of that I'm holding, and for now that's all I'm doing with it.   If you want to learn more about stocks, I would highly encourage you to visit the Motley Fool's excellent "Fool's School," which is where I started my investment knowledge journey.