Nothing to apologize for. So you're interested in investing, eventually. I saw that you also have a 401(K). So while you're building up your emergency fund, maybe start by reading here: https://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Larimore/dp/1118921283
One of the best investing books I've ever read. It's not full of technical jargon and is an easy read.
I am a boglehead fan.
All the info can be found on the webpage but I like books and read it. Other than reading through r/personalfinance I really had no retirement/investing knowledge but was able to read that book and easily understand it in under 2 weeks. If you follow that advice you'll be set if you want long-term investing advice. You should read it before you do anything with the money.
I get the feeling you'd be interested in the /r/financialindependence sub.
I can also highly recommend you read The Bogleheads' Guide to Investing as well as look at the Common Sense Investing
OP read this book. Its a pretty easy read and it explains concepts you should understand.
Or just follow this guide and you'll get 90% of it:
Unless you need complicated estate planning advice, there is no reason not to DIY.
Read this book: https://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Larimore/dp/1118921283/ref=pd_bxgy_14_img_2/134-5701116-1803216?_encoding=UTF8&pd_rd_i=1118921283&pd_rd_r=753f1a8f-a96d-11e9-ae12-fbad7273ae80&pd_rd_w=HT0vn&pd_rd_wg=FztaG&pf_rd_p=a2006322-0bc0-4db9-a08e-d168c18ce6f0&pf_rd_r=FT6KAPX3YW3PYSFVN14X&psc=1&refRID=FT6KAPX3YW3PYSFVN14X
Or TL/DR version: https://www.bogleheads.org/wiki/Three-fund_portfolio
If you are just setting up a Roth IRA and want to get started, go on Vanguard/Fidelity/Schwab and buy a target date fund close to your retirement date. Done.
Paying loads and buying high cost mutual funds is beyond silly in 2019.
 - https://www.amazon.com/Random-Walk-down-Wall-Street/dp/03933...
 - https://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Lar...
Also comes as a book.
It's worth mentioning what a "boglehead" is. John C. Bogle was the founder of Vanguard, and was the creator of the first public index fund. Followers of his principles of investments (which emphasize holding a few low-cost index funds rather than trading stocks, for example) call themselves bogleheads.
Have you opened accounts like a Roth IRA or 401k (through work) or similar? Because you can invest within those accounts in whatever you wish, and you'll get great tax benefits.
For example, any money you put into a Roth IRA you can take out at any time for any reason. And you can invest that money into stocks, and the growth is tax-free and dividends are tax-free. (The government makes all that tax free to try and encourage you to save it in there as long as possible for use when you are old and retired.)
As for what to invest in: read about diverse, passive index funds. If you've never heard of those, there's a good book you can check out from your local library, Bogleheads' Guide to Investing.
Investing: The Boglehead's Guide to Investing. You don't need any other book. https://www.amazon.com/Bogleheads-Guide-Investing-Taylor-Larimore/dp/1118921283/ref=sr_1_1?ie=UTF8&qid=1550686550&sr=8-1&keywords=bogleheads+guide+to+investing
The Gift of Fear, Gavin DeBecker: https://www.amazon.com/Other-Survival-Signals-Protect-Violence/dp/0440508835/ref=sr_1_1?ie=UTF8&qid=1550686596&sr=8-1&keywords=the+gift+of+fear
The Power of Charm: https://www.amazon.com/Power-Charm-Anyone-Over-Situation/dp/0814473571/ref=sr_1_1?ie=UTF8&qid=1550686575&sr=8-1&keywords=the+art+of+charm
I'd suggest you start with a good book: The Boglehead’s Guide To Investing, The Little Book of Common Sense Investing.
That will give you a solid foundation and then you can ask questions here if you have more specific questions. The bogleheads wiki is also a good resource but I think that is hard to navigate if you don't know what you are looking for.
I'm pretty much at the same boat with you (same age, Berlin, cash I'm sitting on) but my mortgage is a bit cheaper (1.04% since I made 50% downpayment I guess). So with 4% Tilgung and this 5% yearly payment, it should be paid off in 10 years, however, I'm still considering If will do it or will make this cash perform better when invested.
I currently have around 12% of my cash invested in ETF, the rest sits in my Tagesgeld. I will gradually increase the investment amount, since I only started last month so I'm still kinda learning before going full speed.
I suggest you to spend some time reading about it before going this path. finanztip.de has tons of info but only in German. The Bogleheads' Guide to Investing is a kind of classic book, a bit focused on US realities, but still gives a good overview of different investment instruments and personal finances.
>Ways to Invest $20k for a Risk-Averse Investor
Usually, the answer could be because of lack of knowledge in investing.
I recommend reading through
Other than that, finding 4% returns right now without much risk is very difficult. If there was such, the bond market would be returning much more than 4%.
Hope you are able to find one that does return such value. I along with rest of the forum would be willing to ditch the current bond market for that 4%.
I mean it's possible but 5 years from zero even with your generous salary is going to be hard. However you could be LeanFI pretty fast at your income level. I think it would be more like 8-10 years probably, but it really depends on what you spend. If the no rent situation is somehow permanent 4-5 years might be possible, if you figure out what you're going to do for health insurance.
I'm probably going to get flayed for this, but there's actually a pretty useful flowchart in the personalfinance subreddit sidebar to get you started. It doesn't sound like you have a lot of debt either so you're already pretty far ahead of the game.
The main thing you need to do is learn some real basic things first, like setting up a personal budget and tracking your spending. Off hand I'd say:
Or something like this is a good start:
Step 1 may be the hardest step: figure out your financial goals. Buy a new car in 2 years? Buy a house in 10 years? Retire by age 60 (or sooner)?
The reason this matters is because how you save & invest for a goal depends on how far into the future you need that money. The sooner you need money: put that into low risk & low return investments (high interest savings account, money market fund, CDs, Treasuries). The further into the future you need money: put that into higher risk & higher return investments (stocks & bonds).
One thing I didn't realize when I was younger was how many different savings & investing accounts I would end up with. You have to save for different life goals in different accounts because they have different tax advantages and such.
I don't want to overwhelm you so I recommend checking out the book The Bogleheads' Guide to Investing.
(I don't know about the pros and cons of debt consolidation, and I hope other /r/personalfinance community members can help you with that part of your question.)
You sound like you have the right attitude and are on the right track. You know specifically what you owe, to who, and, what the interest rate and minimum payments are. That is a hell of a lot better than a large portion of people who come here seeking help.
Check out the wiki and the links provided by AutoModerator. There are some tools in there that may help you out.
Is there any way you can increase your income and/or reduce your expenses? Do you accurately track your spending (www.mint.com, www.youneedabudget.com, etc.)? Your mortgage BY ITSELF is more than most young people make in a month. Before their taxes!
I truly recommend "The Millionaire Next Door" and "Your Money Or Your Life" to you. You currently spend 3650/5700 = 64% of your income on housing alone, which is insanely high as either a percentage OR as a dollar amount.
I just bought this book .
The investopedia has a bunch of information as well.
You can also simulate trading stock with fake currency but in the real market. I just set up an account with sprinklebit because some guy recommended it.