Your income from your check is good. However, you need to build on that money. The easiest way to do it is having your money work for you. The simplest way to get started is send money to your 401(k). You could do this with your employer by filling out a form and having it done automatically. A lot of articles out there recommend sending fifteen percent. I would say the important part is just send some money to your 401(k). I recommend sending enough to get the match your employer has but sending anything is better than nothing. The next part is to select the fund that is right for you. The fund should depend on the goals you set, and the amount of risk you are willing to take.
You are now taking advantage of your 401(k). The next thing you need to figure out is do you invest more money in an IRA or a brokerage account. This again will depend on the goals you have set for yourself. Do you plan to retire when you are sixty? Do you want to retire early? These are questions you should ask yourself to figure out what you do with your money. Whatever direction you take just remember to invest often and regularly. If you can, make this automatic. It is a lot easier to invest when you don’t have to worry about doing anything.
This all makes sense. However, you are not sure where you start and where you look. Again, the easiest part is your 401(k). Talk to your employer and find out how you can start contributing to your 401(k). I will say this plan is not exactly always called 401(k). At non-profits the plan will be called 403(b) while in the public sector the plan is called 457. Please don’t worry about the names too much. You just want to start investing and should send money regularly to help it grow. Once the money is in there, ignore it! You do not need to worry about how the market is doing. The market always bounces back.