Trying to come up with a retirement plan?

I've just turned 42 years old and would like to start some type of investment savings for the remainder of my working life (which should be about 20 years). I've decided to invest 1000.00 per year for the next 20 years. Am I going in the right direction? My ultimate hope is that what I've invested would reap profits to suppliment my social security.

you're going in the right direction but you really should look at it as a percentage of income. Try to contribute 10% of your income as a minimum rather than the $1,000.00. Also, since you're 42...$1,000 a year won't do a whole lot. That will equate out to about $100/month. Jack it up as high as you can...remember, you are starting late!

Do not invest in a CD...the rate won't keep up with inflation...you'll fall behind! The only time I'd advocate a CD is if you simply can't afford more than $20 a paycheck. You can...And even then it's a short term measure until you can meet the minimums of a mutual fund purchase.

And I may be wrong in my assumption but I'm guessing you are not going to be moving up in the tax brackets so a ROTH doesn't make much sense for you. ROTH's are only good for those who think that they will be in a higher tax bracket when they retire and for 90% of the people this simply isn't the case.

surly start a 401k plan i would put the most you can in percent away! so it can start to build! and do this as soon as you can!
i would even start a CD for youself!

if you can, invest AS MUCH as you can afford....not just a thousand a year. That is only $83 a month! You surely can afford more than that! Max out a ROTH IRA (4K a year for single or 8K a year for married )

You are definitely going in a right direction, try to save as much as you can, there are many investment options (IRA, 401(k), 403 etc) and you have plenty of time. Check www.retirement-news.com. Good luck.