529 vs. Vanguard Retirement fund in Roth IRA

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529 vs. Vanguard Retirement fund in Roth IRA

Post by Thevillianinbrown »

Hello Bogleheads,

My father gave me a generous gift of $5000. I'm in a good position financially so far due to a great start with low-cost Vanguard investing early in my life. He's fine with giving it to his grandkids ages 6 and 4. My wife and I have started their 529 plans. I was looking at the possibility of putting it in a Retirement index fund that would automatically get more conservative as it gets close to the retirement date, which would be my kids' secondary education years. I would put it in my Roth IRA for them in the future. What are the pros and cons. I read up but I need some feedback from the Boglehead community.

Thanks in advance.

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