I'm 70% C and 30% S in my Traditional TSP. What is the equivalent of the C and S Funds with Vanguard?

Have a question about your personal investments? No matter how simple or complex, you can ask it here.
Post Reply
Topic Author
theclumsymagician
Posts: 4
Joined: Sat Oct 17, 2020 8:02 pm

I'm 70% C and 30% S in my Traditional TSP. What is the equivalent of the C and S Funds with Vanguard?

Post by theclumsymagician »

I'm a federal employee and in my TSP I have my contributions to 70% in the C fund and 30% in the S fund. I am trying to find the equivalent mutual fund with Vanguard that will mirror the C and/or S fund. I've read that VTSAX mutual fund is a combination of the C an S fund. Is this correct?

I do not have a Vanguard account but my goal is to open a Vanguard Roth IRA soon, and I am wanting to find mutual funds that will mirror the C and S fund. Would like it to be the same as my current TSP allocations, so roughly 70% C and 30% S.

Thanks in advance.
Mordoch
Posts: 429
Joined: Sat Mar 10, 2007 11:27 am

Re: I'm 70% C and 30% S in my Traditional TSP. What is the equivalent of the C and S Funds with Vanguard?

Post by Mordoch »

theclumsymagician wrote: Sat Oct 17, 2020 8:11 pm I'm a federal employee and in my TSP I have my contributions to 70% in the C fund and 30% in the S fund. I am trying to find the equivalent mutual fund with Vanguard that will mirror the C and/or S fund. I've read that VTSAX mutual fund is a combination of the C an S fund. Is this correct?

I do not have a Vanguard account but my goal is to open a Vanguard Roth IRA soon, and I am wanting to find mutual funds that will mirror the C and S fund. Would like it to be the same as my current TSP allocations, so roughly 70% C and 30% S.

Thanks in advance.
VTSAX is essentially a combination of the two funds. The C fund is the equivalent of S&P 500 index (VFINX) while the S fund is at least basically the equivalent of Vanguard's Extended Market index (VEXMX).
User avatar
Jerry55
Posts: 773
Joined: Tue Jan 27, 2015 1:56 am
Location: That Toddlin' Town

Re: I'm 70% C and 30% S in my Traditional TSP. What is the equivalent of the C and S Funds with Vanguard?

Post by Jerry55 »

I'm Retired CSRS (2012), just turned 65 and am situated similarly, but 80 C / 10 S / 10 International.

I've been disappointed with the I fund for over 2 years now, and will, in the near future 3-5 years make a similar move.
In the meantime, I'll be watching this post for further observations.

Good Luck !
Retired CSRS on 12/19/2012 @ age 57 w/39 years | Good Bye Tension, Hello Pension !!!
User avatar
Watty
Posts: 20644
Joined: Wed Oct 10, 2007 3:55 pm

Re: I'm 70% C and 30% S in my Traditional TSP. What is the equivalent of the C and S Funds with Vanguard?

Post by Watty »

Jerry55 wrote: Sun Oct 18, 2020 12:27 am I'm Retired CSRS (2012), just turned 65 and am situated similarly, but 80 C / 10 S / 10 International.
Be sure to understand the differences in the TSP inheritance laws. Here is what I have posted on that before.
Be sure that you understand that the TSP inheritance laws are different than IRA inheritance laws and they are sometimes worse. There is a wiki on this;

https://www.bogleheads.org/wiki/TSP_estate_planning

There was a post awhile back where where someone had run into this situation;

1) Dad had a large TSP, he died and left it to his wife.
2) Wife left the money in the TSP as a beneficiary participant, that worked OK for her.
3) A few years later the wife died and left the TSP to their kid. 

The problem was because of the TSP inheritance rules that the kid could not roll the money out to an inherited IRA and they could also not leave the money in the beneficiary participant account so the kid had to withdraw the money and pay taxes on it. If either the Mom or Dad had rolled the money into an IRA then the kid could have avoided, or at least delayed, a six figure tax bill since they could have the money in an inherited IRA.

You might want to consider rolling the money out to an IRA.

When I have posted about this before there have occasionally been comments to the effect of "I will leave a note for my wife to roll the money out to an IRA if I die first." I would not want to count on an 80 year old recently widowed person actually doing that.
Topic Author
theclumsymagician
Posts: 4
Joined: Sat Oct 17, 2020 8:02 pm

Re: I'm 70% C and 30% S in my Traditional TSP. What is the equivalent of the C and S Funds with Vanguard?

Post by theclumsymagician »

Jerry55 wrote: Sun Oct 18, 2020 12:27 am I'm Retired CSRS (2012), just turned 65 and am situated similarly, but 80 C / 10 S / 10 International.

I've been disappointed with the I fund for over 2 years now, and will, in the near future 3-5 years make a similar move.
In the meantime, I'll be watching this post for further observations.

Good Luck !
Congrats on your retirement and hope you've enjoyed things since then. I have about 25 more years until I get to retire.

I recently switched from L2050 to C and S and wish I would have made the change sooner. You mentioned in the near future you would be making a similar move, but why wait until then? Just curious about your strategy.

Thanks.
Outer Marker
Posts: 925
Joined: Sun Mar 08, 2009 8:01 am

Re: I'm 70% C and 30% S in my Traditional TSP. What is the equivalent of the C and S Funds with Vanguard?

Post by Outer Marker »

theclumsymagician wrote: Sat Oct 17, 2020 8:11 pm I am wanting to find mutual funds that will mirror the C and S fund. Would like it to be the same as my current TSP allocations, so roughly 70% C and 30%
If you want exactly the same ratio, it would be 70% Vanguard S&P 500 index and 30% Vanguard extended market index, VEXMX. That said, for simplicity, I would just hold the Vanguard Total Stock market index, VTSAX which holds the entire market at market weight, meaning slightly more large cap - on the order of 80/20.
Fishing50
Posts: 442
Joined: Tue Sep 27, 2016 1:18 am

Re: I'm 70% C and 30% S in my Traditional TSP. What is the equivalent of the C and S Funds with Vanguard?

Post by Fishing50 »

VTSAX would be a great option in Roth accounts.

To maximize the advantages of Roth IRA accounts your investing priority should be:
1. TSP to the match
2. Roth IRA contribution to the max
3. TSP to the max
4. taxable investing

Due to contribution limitations Roth IRA space is valuable. Contributions can be withdrawn for any reason, so you can put your emergency fund in a Roth IRA account. In future years, you can get that money invested once you have taxable savings. https://www.bogleheads.org/wiki/Roth_IR ... gency_fund
2yrs from military pension. 80 equites / 20 bonds for life, ZERO emergency fund, 100% taxable in equities (dividends in cash). | Gone Fishing At 52yrs old!
Post Reply