The most important factor you should consider right now is whether you have life insurance or not. Without life insurance, saving for anything would be futile if you don't protect your income. If something happens to you, how would your family survive? If you do have life insurance, then maybe you can lower your premiums. To see the different types of life insurance, go here: http://obe231.blogspot.com.
If you have life insurance, then you should check whether or not if you have enough saved for retirement. You should find out your financial independence number. For most people, its usually a million or more. If you don't have anything saved for retirement, then open an IRA account. There are two types of IRAs. To learn more about IRAs, go here: http://obe231.blogspot.com/2006/12/individual-retirement-account.html
After that, then you should consider open a 529 plan for the child. They are the best education accounts the government has to offer! To read more about 529 plans, see my research here: http://obe231.blogspot.com/2006/12/529-plan.html
With $3000, I would split it between your retirement account and your son's 529 plan. I would put a little bit more toward your retirement since there's a chance that your son may not want to go to college.
· 1 decade ago