As a student juggling classes and a part-time job, you’re already doing a fantastic job of managing your time and finances. Now, as you start to accumulate a few thousand dollars, you might be wondering whether to dive into a Roth IRA or a brokerage account first. Think of it like picking the right starter Pokémon: you want to choose the one that sets you up for success without overwhelming you.

A Roth IRA is like that reliable friend who always has your back. With this account, you can contribute after-tax dollars, and when you’re ready to cash out in retirement, that money is all yours tax-free. For a student, this is a golden opportunity. It’s perfect for those who may not have a high income yet but want to make the most of their savings for the long haul. Plus, if you’re planning on working for decades, that tax-free growth can end up being a game-changer.

On the flip side, a brokerage account is like the cool, spontaneous buddy who’s always up for an adventure. It gives you the freedom to buy and sell investments like stocks, ETFs, and mutual funds without the restrictions of a retirement account. This can be appealing if you want to try your hand at investing and learn the ropes of the market. However, any money you make will be taxed, which can feel a bit like getting hit with a surprise bill after a fun night out.

So, which one should you open first? If your goal is to put your money to work for the long-term and you’re thinking about your future, a Roth IRA could be the way to go. You’re already in a low tax bracket as a student, which means you’ll pay less tax on your contributions now. Plus, the earlier you start saving for retirement, the more time your money has to grow, thanks to the wonders of compound interest. It’s like planting a tree: the sooner you plant it, the bigger it gets!

On the other hand, if you’re eager to learn about investing and want to see your money move in real-time, starting with a brokerage account can be a fun way to experiment. Just remember: it’s essential to have a plan and not treat it like a trip to the candy store—investing requires a bit of discipline. You can always open a brokerage account later once you’ve topped off your Roth IRA contributions.

Ultimately, the best choice depends on your personal financial goals. If you’re more focused on building a nest egg for the future, start with that Roth IRA. If you’re keen to dive into the world of investing and understand how the market works, start with a brokerage account. And remember, no matter which route you take, the key is to keep learning and growing your financial knowledge. Just like characters in a great movie, your financial journey will have its ups and downs, but with the right tools and mindset, you’re bound for success.