Vanguard logo

Opening My First “Real” Brokerage Account (And the Mistake I Already Made)

Over the past few months, I’ve mentioned multiple times that my big goal this year was to start investing and contributing to a brokerage account on a monthly basis. Well, at long last, I took a major step toward reaching that goal this week as my wife and I opened up a joint brokerage account with Vanguard. That’s right, despite having some small trading accounts with Robinhood, SoFi, and previously Acorns, this is my first “real” investment account and it feels so good… except for one minor hiccup.

One of the reasons I was still putting off opening an account in the first place was that I knew that the Vanguard 500 Index Fund Admiral Shares had an extremely low expense ratio of 0.04%. Unfortunately the minimum buy-in for this fund was $3,000. While we could technically swing that, my wife and I are still figuring out exactly how much money we want to keep where. Therefore I figured we should start setting money aside and then just open the account when we felt comfortable.

Cut to sometime last week when something inside me insisted that I just go ahead and open the account, even if that meant starting off with a more modest sum. I assumed that I could start with whatever amount, put it into the Vanguard 500 Index Fund Investor Shares with a slightly higher expense ratio, and then convert to Admiral Shares once we crossed that $3k threshold. Well, it wasn’t until after I opened the account — entering all of our personal information and depositing our first $500 — that I learned the Investor Shares version of the fund was now closed. Plus, even if we wanted to try another fund, a quick scroll through the options would suggest most still carried a similar minimum. In other words, while we may have money at Vanguard now, it’s not really invested. D’oh!

On the one hand, it kind of sucks that my money is just sitting there, waiting for other digital greenbacks to join it before it can go play. Yet, on the other hand, at least this gives us more motivation to transfer that $3,000 as soon as possible. Plus, even if I haven’t technically started investing with Vanguard just yet, I do feel both accomplished and relieved to finally have the account itself open. So, all things considered, I guess I can still count this as a win and step in the right direction for our investing journey.

Author

Kyle Burbank

Kyle is a freelance writer and author whose first book, "The E-Ticket Life" is now available on Amazon. In addition to his weekly "Money at 30" column on Dyer News, he is also the editorial director and a writer for the Disney fan site LaughingPlace.com and the founder of Money@30.com.

Other Articles by Kyle Burbank

Fellow Ode 2 Coffee Grinder

My Quick Review of the Fellow Ode 2 Coffee Grinder

A couple of weeks back, in my column on Fioney, I somewhat lamented a recent splurge purchase — not because I was necessarily upset with what I bought but what the process of doing so said about some of my personal finance failings. The item in question was the Fellow...

Should You Buy, Lease, or Finance Your Next Smartphone?

Remember a few years ago when you thought that friend of yours who always had the latest model iPhone was crazy for spending that much? That’s changed in recent years as carriers and others now allow you to essentially lease your device. Taking a page from the auto industry, you...
Bilt and Curve credit cards

Bilt Has Seemingly Shut Down Rewards on Curve Transactions

Ya know, some weeks I really struggle to find a quick tip post to share. And then there are weeks like this that are so overflowing with news that I don't even know where to start. So, since I trust you've already read about the big news regarding Delta SkyMiles...

$2k more to go and you’re set. Goodluck and keep us updated with how Vanguard works.

Congratulations that you’ve finally started it, now all you need to do is growing it. Goog luck.

Comments are closed.

The "Email" field is empty, you must enter some text to proceed.The text you entered in the "Email" field appears to be invalid, please edit it and try again
Get Posts in Your Inbox
Featured Articles
Fellow Ode 2 Coffee Grinder

My Quick Review of the Fellow Ode 2 Coffee Grinder

A couple of weeks back, in my column on Fioney, I somewhat lamented a recent splurge purchase — not because I was necessarily upset with what I bought but what the process of doing so said about some of my personal finance failings. The item in question was the Fellow...

Should You Buy, Lease, or Finance Your Next Smartphone?

Remember a few years ago when you thought that friend of yours who always had the latest model iPhone was crazy for spending that much? That’s changed in recent years as carriers and others now allow you to essentially lease your device. Taking a page from the auto industry, you...
Bilt and Curve credit cards

Bilt Has Seemingly Shut Down Rewards on Curve Transactions

Ya know, some weeks I really struggle to find a quick tip post to share. And then there are weeks like this that are so overflowing with news that I don't even know where to start. So, since I trust you've already read about the big news regarding Delta SkyMiles...
model of the American Express Centurion Lounge at EWR

Travel Tuesday: Amex Centurion Lounge Coming to EWR in 2026

When I was a kid, my family would travel between Phoenix's Sky Harbor International Airport and Newark Liberty International Airport in New Jersey at least once per year. Because of this, I have plenty of distinct memories from both hubs — but especially EWR. I still think about the signs at...