Help picking funds
Posted: Tue Jun 05, 2018 9:04 am
I’m looking for some advice on my retirement fund picks. I’m 37, married, one toddler and another kid on the way.
I have a $402k mortgage with 28 years left and owe about $382k, with monthly payment about $2500. We also have 3 years left on a vehicle loan @ $600/Mo. No other debt.
I have $90k in a Roth IRA and $120k in a solo 401k. I also have 27k in a taxable account but I will be putting this into a money market so it can act as an emergency fund.
I just transferred the Roth over from Northwestern Mutual where I was paying a total of 2.31% between expense ratio and management fee. The Roth transferred as a cash holding and I want a 90/10 stock to bond asset allocation.
I’m considering, moving my solo 401k over but haven’t done so yet. It is setup under Paychex and uses Fidelity funds. There are no load charges. They are M class shares. Paychex charges an annual fee of $325. The current allocation is as follows:
FAIGX - $29,268 - 1.13% er
FAEGX - $27,257 - 1.26% er
FAGOX - $27,508 - 1.14% er
FITIX - $18,050 - 1.29% er
FNITX - $18,169 - 1.18% er
I know at a minimum I need to change the asset allocation but I’m most likely going to transfer the 401k to vanguard also. If I do I thought about putting the 401k in 2045 target date fund. Admiral shares aren’t available in vanguard 401k so it’s investor share er. It’s over 50k so I’ll have voyager status and the $20/ fund is waived.
Does that sound like a good 401k strategy? Would something else be better?
For the Roth, should I invest in the same funds or diversify a little. I’ll have admiral shares so I won’t do a target date fund because I can get a better er without. So I could choose the same funds that are in target date at lower er, or I could choose different funds like vanguard 500, a mid cap fund, a different bond fund etc.
What is a good protocol here?
I have a $402k mortgage with 28 years left and owe about $382k, with monthly payment about $2500. We also have 3 years left on a vehicle loan @ $600/Mo. No other debt.
I have $90k in a Roth IRA and $120k in a solo 401k. I also have 27k in a taxable account but I will be putting this into a money market so it can act as an emergency fund.
I just transferred the Roth over from Northwestern Mutual where I was paying a total of 2.31% between expense ratio and management fee. The Roth transferred as a cash holding and I want a 90/10 stock to bond asset allocation.
I’m considering, moving my solo 401k over but haven’t done so yet. It is setup under Paychex and uses Fidelity funds. There are no load charges. They are M class shares. Paychex charges an annual fee of $325. The current allocation is as follows:
FAIGX - $29,268 - 1.13% er
FAEGX - $27,257 - 1.26% er
FAGOX - $27,508 - 1.14% er
FITIX - $18,050 - 1.29% er
FNITX - $18,169 - 1.18% er
I know at a minimum I need to change the asset allocation but I’m most likely going to transfer the 401k to vanguard also. If I do I thought about putting the 401k in 2045 target date fund. Admiral shares aren’t available in vanguard 401k so it’s investor share er. It’s over 50k so I’ll have voyager status and the $20/ fund is waived.
Does that sound like a good 401k strategy? Would something else be better?
For the Roth, should I invest in the same funds or diversify a little. I’ll have admiral shares so I won’t do a target date fund because I can get a better er without. So I could choose the same funds that are in target date at lower er, or I could choose different funds like vanguard 500, a mid cap fund, a different bond fund etc.
What is a good protocol here?