Join our community, read the PF Wiki, and get on top of your finances! I saw your post on Reddit and have read some of your site and love the advice you have given. Vanguard Roth IRA: VTSAX/VTIAX vs Target Retirement Date Fund. Roth IRA money is not subject to Required Minimum Distributions (RMDs), ... have $10,000 in qualified dividends from index funds like VTSAX, $10,000 in taxable income from crowdfunded real estate, and want to spend $120,000 slow traveling around the world that year. has $0 available to spend on junior’s education (just considering the assets part of the equation, not income). The Vanguard Total Stock Market Index Fund [VTSAX] holds over 3,000 stocks (3,624 as of Dec 2017) while the Vanguard 500 Index Fund Admiral Shares [VFIAX] holds approximately 500 stocks (508 as of Dec 2017). You would want as much money in the account with tax-free withdrawals (Roth IRA) and as little money in the account that will tax withdrawals as ordinary income (401(k)). Fortunately, there’s a tax loophole where you can open a traditional IRA and convert it to a Roth IRA. Or put another way, VTSAX is a collection of many stocks (more on that later) that track the American stock market as a whole. Right now I selected the “Target retirement 20xx” fund but I don’t know if that’s the best option. Vanguard’s Total Stock Market ETF is VTI. Roth IRAs also offer investors a lot of flexibility, experts say. After reading the book the Simple Path to Wealth I said in this post I would put $50,000.00 in the Vanguard VTSAX fund and add to it monthly. It is also a US total market fund, with a few hundred more holdings than FZROX, and with a lower expense ratio than VTSAX. I think FZIPX is not "everything not covered by FZROX", but rather "everything in FZROX outside the to 500 or so" if you look at the number of holdings of each, FZIPX is FZROX minus roughly 500. It seems most people like the VTSAX however, Fidelity now has the zero fee funds. My CFP with Cambridge Investment Research transferred funds from a 403b to an IRA (with the Vanguard portfolio) when I retired in 2016 (I started my 403b with an IVY fund and paid in $82,000 total over 13 years). Monday through Friday 8 a.m. to 8 p.m., Eastern time BUT, I'm okay with doing simple tasks like putting money in and visiting the account on a weekly basis. After reading the book the Simple Path to Wealth I said in this post I would put $50,000.00 in the Vanguard VTSAX fund and add to it monthly. Great article, but I have a question. No RMDs. Wealthy Doc October 22, 2018 at 6:28 am. VTSAX is marginally better. I already have a Roth IRA with Edward Jones that I was able to set up with my military signing bonus under the HPSP. Get out of USAA for your Roth IRA. If the only money that is going to be invested is the $6k per year in a Roth IRA, it really doesn't matter if the yield is slightly lower and the expense ratios are slightly higher for TRF. Withdrawals from traditional IRAs are usually subject to taxes and a 10% early withdrawal penalty if you take money out before age 59.5. I own VTSAX in my 401k and Roth and have a spousal IRA with the Schwab total market fund (which has an even lower expense ratio than Vanguard). This means holding lots of stocks in those retirement accounts. You could also add FSKAX in your comparison. YTD 15.82% 11.40%. By owning this one index fund, you hold a piece of ownership in all 3,600+ publicly traded stocks in the U.S. Are you talking about opening up an after-tax brokerage account and investing in VTSAX there? This subreddit is a place where high income professionals of all types can ask, answer, discuss, and debate the personal finance and investing questions specific to our unique situations without being criticized, ostracized, or downvoted simply for having a high income and "first world" problems. I don’t follow the calculation where it says: After-Tax Asset Allocating. Traditional 401k)? There are no required minimum distributions (RMDs) for as long as you live. Roth IRA. The first reason is that I plan to build an account that I can pass down to my kids. The fund holds over 8,500 bonds with … Get details on IRA withdrawals. You pay taxes on it up front and your money then grows tax-free. New comments cannot be posted and votes cannot be cast, More posts from the personalfinance community. A Profile of the Vanguard Total Stock Market Index Fund. Any advice would be greatly appreciated. Taxes are boring and I’m too lazy to do research for things that don’t affect me. It is currently grandfathered in their system as a $40 flat annual fee with three class a mutual funds investments that have a personal return about 7.6% (although largely skewed by a current 20% return). In reality, there's nothing WRONG with doing TRF. Logged dionnenicole. If you withdraw money from a converted Roth IRA within the first five years after the conversion, you'll have to pay the 10% penalty on any withdrawals. If you really wanted to get your 50/50 asset allocation right on an after-tax basis, then you’d put $90K into stocks and $10K into bonds in your Roth IRA, and then $100K into bonds in your traditional IRA. You have to take a look at those differences and make a decision that fits your investment goals and accessibility. I have around $14,000 in VFIFX. For those closer to retirement, a healthy allocation to stocks may still be appropriate. Either put the money in lump sum, or set up an automatic transfer/deposit and don't look at it. Just looking for insight on what people think. Don't contribute if your employer isn't going to match. I have chosen to invest in VTSAX because it’s available in my company Roth 401k. For those hyper sensitive to expense ratios, this cost has the net effect of a 0.15% inefficiency to the market. I am a bot, and this action was performed automatically. Taxes on the interest payments are deferred in a Roth IRA account, making it an ideal place to hold such investments. Roth conversions. The purpose of a dividend portfolio is to earn cash flow in the form of a dividend to supplement your lifestyle. Based on your advice I will stick to VTSAX and VTIAX with $3000 one-time deposits to each. It seems most people like the VTSAX however, Fidelity now has the zero fee funds. It has an expense ratio of 0.035%, which is cheaper than Vanguard's VTSAX by about 5¢ per thousand. Liquidate the assets inside the USAA Roth IRA, and rollover the account to Vanguard. It's rarely worth buying the mutual fund versions anywhere that isn't Vanguard. This past year, I finally went ahead and rolled over my Roth IRA from Betterment to Vanguard. It's important that your stock exposure matches your comfort with risk, investment horizon, … VTSAX | A complete Vanguard Total Stock Market Index Fund;Admiral mutual fund overview by MarketWatch.

↑ Total International Stock ETF (VXUS), Vanguard Institutional Investors. I’m sorry. By using our Services or clicking I agree, you agree to our use of cookies. I'm okay with doing simple tasks like putting money in and visiting the account on a weekly basis. I don’t know how much more. In general, it makes sense to use as much tax-advantaged space as possible and then investing after tax with what's left over. Make sure you keep track, screenshots, records of every single payment you make so you can get your PSLF. My Millionaire Journey: I Put $50,000.00 in the Vanguard VTSAX Fund. My hope is for a 70/30 VTSAX-VTIAX/VBLTX setup as soon as financially feasible. And I believe once your portfolio hits 10k it’s easy to convert to admiral shares (and may even happen automatically). I remember … VXUS and VTIAX have the same expense ratio: 0.04%. The Admiral share class has the lowest cost (0.04% for VTSAX), but has a minimum investment of $3,000. My gut says yeah, use all the tax stuff you can. The cost of switching should be minimal. Newbie here again. VTSAX and VTI are very similar investments. On the other hand, a family with $0 of after-tax investments and $200k of 401k/IRA/Roth IRA/etc. I strongly believe th… I currently have a Vanguard passive account with investments distributed in VXUS, VOO, VXF, BND, BNDX. For investors seeking broader diversification, VTSAX is the better bet. 3-Month 5.88% 5.24%. Thanks! For example, maybe you do Vanguard TRF in your Roth IRA, but it's not available via your 401(k) or 457. The beneficiary of the Roth IRA assets receives the distribution after the Roth IRA holder's death. Good post, you’ve got a great mindset for incoming PGY1. If you haven't made your 2017 contributions yet and want to make 2018 contributions right now, you can contribute up to $11,000 in a Roth IRA right now and buy VTSAX right away. Newbie here again. Will take a closer look when I am eligible next year, and plan on building emergency fund. VTSAX is one of the largest index funds in the world. 3-Year 13.21% 10.90%. Taxes on the interest payments are deferred in a Roth IRA account, making it an ideal place to hold such investments. Tax-Free Account Withdrawal: Once you reach age 59 1/2, your withdrawals of contributions are not subject to either taxes or penalties. They are a great way to save for retirement without a worry in the world. FZROX is new, under a year old, so in the long run it may outperform VTSAX, depending on how the stocks inside the funds do. You can consider having a side account. I agree with /u/chordasymphani on everything. As far as asset classes and equities are concerned both VTI and VTSAX allow investors to put their money into the same stocks. Roth IRA Stocks Mutual Funds ETFs 401(k) Investing/Trading ... (VTSAX) mutual fund invests in the U.S. equity market with more than 3,600 stock holdings in this one fund. If you're already a Vanguard client: Call 800-888-3751. If you choose to invest in VTSAX, this means you certainly won’t be alone in carrying about its performance. I do not believe Vanguard will charge you anything. It does not make sense to buy VTSAX in a Fidelity account, as you'll get hit with trading fees. Index funds at the 3 often suggested here (Fidelity, Schwab, Vanguard) are so low on expense ratios it usually isn't worth switching if you are happy where you are. I don’t follow the calculation where it says: After-Tax Asset Allocating. Return VTSAX Category. Others (such as the White Coat Investor in this post) argue forcefully that you should hold bonds in taxable, because you want to maximize the tax benefits of your retirement investment accounts by maximizing the return of the assets in those accounts. Employer has recently switched to TIAA from MetLife and cannot provide any other details. Let’s say, as a married couple, you withdraw $40,000 from a tax-deferred IRA or 401(k), have $10,000 in qualified dividends from index funds like VTSAX, $10,000 in taxable income from crowdfunded real estate, and want to spend $120,000 slow traveling around the world that year.. That means if you don’t need the money from your Roth IRA, you can just let it grow. I have been debating switching over to a total market index. The first reason is that I plan to build an account that I can pass down to my kids. BTW, my employer does not allow employees into their match program until PGY-II. I am only 20 years old, but I have saved up some money to invest and I definitely new to the investing world but I already set up a Roth IRA account with Vanguard, however the target date index fund 2060 has a higher ER than I prefer and I don’t really need bonds right now. My Millionaire Journey: I Put $50,000.00 in the Vanguard VTSAX Fund. Yes you should be in total market and not just S&P500, cause that is not diversified. Yeah that's a lot of loans. As a result, your goal should be to put asset classes with high expected returns, such as stocks, into the Roth IRA. Good advice, but I prefer having a Roth-IRA and Roth 401(k) or Roth 403(b) (depending on employment type) to traditional. That changed less than a year ago. 2. Dividend Stocks . Great article, but I have a question. Then you will have multiple accounts to manage, at which point it makes no sense to have the TRF anywhere. Your earnings on those contributions, however, are subject to tax, but not a penalty. A Profile of the Vanguard Total Stock Market Index Fund. The equity characteristics of VTSAX and VFIAX are as follows: No age limit. A Roth IRA is an individual retirement account that offers tax-free growth and tax-free withdrawals in retirement. Learn more about VTSAX investment portfolio, including asset allocation, stock style, sector exposure, financials, sustainability rating, and holdings. 5-Year 13.95% 12.06%. I know that I am limited as to how much I can contribute each year. There are income limits to the Roth IRA. I'm trying to budget for my 2020 Vanguard Roth IRA. Making Money In The Stock Market Is Not Easy. So far, you’ve got $60,000 to spend and a taxable income of $60,000 – $24,800 standard deduction = $35,200. The Roth IRA holder is disabled when the distribution occurs. I have paid off my student loans and am getting an O-1 salary while going to medical school at USUHS. Few Facts about Me: Incoming PGY-I Psychiatry with $512,000 (7.1% interest) in Federal Loans on REPAYE (planning to pursue PSLF). Once you’ve been convinced that index funds are the most efficient way to invest, the only decision you need to make is which index fund to invest in. If you really wanted to get your 50/50 asset allocation right on an after-tax basis, then you’d put $90K into stocks and $10K into bonds in your Roth IRA, and then $100K into bonds in your traditional IRA. Wouldn't I be better of just investing in VTSAX as an index fund by itself, therefore I could contribute as much as I wanted. If I open an Roth IRA can I have Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX) within the Roth IRA? The Roth IRA, of course. FNILX is fidelity's zero large cap index. In an ideal world I’d be a one fund and done investor since I don’t trust myself not to tinker too much. I am 68 years old. Working as a lawyer, I didn’t qualify for a Roth because of my income. But never fear high earners, there is a solution to this wonderful problem. It’s been a long time coming. My overall approach is to be as "hands off as possible and let the money grow", which certainly makes the TRF more appealing despite the higher expense ratio. Those who argue for holding bonds in tax-protected accounts argue that bonds are less tax-efficientthan stocks, so they should be held in tax-protected retirement accounts. Larimore goes on to explain that investors can achieve the benefits of stock index-fund investing through owning just one fund: VTSAX or VTI, the Vanguard Total Stock Market Index Fund or ETF equivalent. JL Collins (Simple Path to Wealth) made one of the best cases for it. I would put international and bond into your 401k and go VTSAX or VTI only in your taxable space as well as Roth IRA. Also offers the ability to automatically invest, buy fractional ETF shares order based on funds more when. I invest in Vanguard, specifically VTSAX, in my ROTH IRA. Should I choose between two of the lowest … VTSAX vs VTI which... % vs 0.03 % ) all in VTSAX fund and ETF of the.. There are some advantages and disadvantages to both because one is an ETF and one is an Index Fund. You absolutely don't need to do this.

With Vanguard's incredible reputation and its affordable high performing index funds, they have become the gold standard. As a general rule, the more time you have to save, the greater the percentage of your money you can consider allocating to stocks. VTSAX: 3,560: $813.5 B: 0.04%: Schwab: SWTSX: 3,075: $10.0 B: 0.03%: Fidelity: FSKAX: 3,454: $46.5 B: 0.015% : Fidelity: FZROX: 2,530: $3.8 B: 0%: On the surface, the new Fidelity® ZERO Total Market Index Fund looks like it just won the war as best US total market index fund. So just sit on the extra money the first year...pay down your loans, build up your emergency fund...whatever you want. The whole process is called a “backdoor Roth IRA.” You can open a backdoor Roth IRA plus a spousal Roth IRA for a total contribution of $12,000 each year with the current Roth IRA limitations. A lot of people use Vanguard, they used to have the lowest expense ratios. Right now I selected the “Target retirement 20xx” fund but I don’t know if that’s the best option. Press question mark to learn the rest of the keyboard shortcuts. Just wanting to get peoples opinions on either or both and thoughts. That solution is called the backdoor Roth IRA. It is hard to argue against VTSAX. I am … Monday through Friday 8 a.m. to 8 p.m., Eastern time To a university (using the FAFSA tool), a family with $200k of after-tax investments has $200k available to spend on junior. Roth sounds like a great deal. 1-Year 19.14% 14.42%. Do you recommend buying VTSAX in a Roth IRA? The chart above shows what will happen when you invest in this fund. Setting up my Roth IRA and maxing it out. So if I fill the Roth IRA, what retirement account should I put into with any leftover money (i.e. Freedom, Freedom Index, or Freedom Blend: Understanding Fidelity’s Confusing Lineup Of Target-Date Funds . At least, until I have enough in the IRA to worry about broadening my investments. … FZROX is total market. What have you been investing in so far? So, Roth IRA is a type of account, and VTSAX is an index fund, which you can invest in within your Roth IRA. Investing in VTI vs. VTSAX. An initial $10,000 investment turns into $714,671 for FZROX and $733,569 for VTSAX, a difference of $18,898 or about 2.6%. 1-Month 12.20% 11.08%. I decided to do it for 3 reasons. The costs are too high. If you want to manage your own accounts, read the Three Fund Portfolio post on Bogleheads wiki. Deferred vtsax vs vti reddit IRA VIEW RESULT offers the ability to automatically invest, buy fractional ETF shares like a and. If you do not have $3,000 to invest in the Admiral Shares (VTSAX), then you should invest in the ETF. For 2019 I converted $40,000 from an IRA to a Roth IRA in hopes of staying in the lowest tax bracket. 30 years old, just started my Roth IRA earlier this year. These days retirement may last for decades, so the money will likely still need to grow for many years even after you retire. Roth IRA rules dictate that as long as you've owned your account for 5 years* and you're age 59½ or older, you can withdraw your money when you want to and you won't owe any federal taxes. Vanguard should be able to help you with the paperwork and it should be a fairly painless process. I'm new to the financing game, and I'm wondering what would be the better option of the following: $6000 into Target Retirement Fund 2055 ($1000 minimum, I'm turning 34 next week). If you want to learn as little as possible about finance until the very end of residency, TRF is absolutely fine and is a good set-and-forget strategy. What fund I have to select though? If you and your spouse make $194,000 or more, you can not contribute to a Roth IRA. As an individual, if you make over $132,000, you also can not contribute. Ideally, you should do something more like FZROX + FZILX which is total US + international. The main difference is that one is through fidelity and the other is through vanguard. They hold the exact same collection of stocks (every individual publicly traded stock in the U.S.), they have the exact same dividend yield, and they earn the exact same annual returns. Great review. I am 24 years old and a 2d Lt in the USAF. 19 COMMENTS. At least, until I have enough in the IRA to worry about broadening my investments. Keep Bonds Out Of Your Roth IRA. Indeed, a year ago, I wrote a post about how I was going to do exactly that – then, of course, I procrastinated and did nothing for the next 12 months. VTSAX is one of the largest index funds in the world. Great analysis I thought I was reading Jim Collins blog for a second. I don’t know the names of those index funds offhand but I think they’re google-able.

VXUS, represented by the blue, is for the most part entirely covered by VTIAX – the red line. That is why I was debating switching to an index. VTSAX | A complete Vanguard Total Stock Market Index Fund;Admiral mutual fund overview by MarketWatch. View mutual fund news, mutual fund market and mutual fund interest rates. The huge benefits of a Roth IRA Roth IRAs are great vehicles for saving. Press J to jump to the feed. After listening to your show you both seem to like converting more into the tax-free.” Yeah. So far, you’ve got $60,000 to spend and a taxable income of $60,000 – $24,800 standard deduction = $35,200. I guess we’d like to convert more. Here’s your takeaway: Choose VXUS or VTIAX; it does not matter. I currently have my Roth IRA with fidelity and investing in an SP500 index ETF(IUSG). What fund I have to select though? The equity characteristics of VTSAX and VFIAX are as follows: I have been debating switching over to a total market index. You don't need $10,000 for each purchase - the minimum purchase amount for additional investments once you hold VTSAX … Press question mark to learn the rest of the keyboard shortcuts. This includes physicians, dentists, attorneys, physician assistants, nurse practitioners, pharmacists, physical therapists, occupational therapists, and others with high incomes. Roth IRA rules dictate that as long as you've owned your account for 5 years* and you're age 59½ or older, you can withdraw your money when you want to and you won't owe any federal taxes. The Vanguard Total Stock Market Index Fund [VTSAX] holds over 3,000 stocks (3,624 as of Dec 2017) while the Vanguard 500 Index Fund Admiral Shares [VFIAX] holds approximately 500 stocks (508 as of Dec 2017). Sigh. If you're already a Vanguard client: Call 800-888-3751. VTSAX vs. VTI: They’re Identical Investments Otherwise. If you're trying to decide whether to invest with Betterment or Vanguard, NerdWallet's comparison will guide you toward the best choice for you. Will plan and do accordingly. Cookies help us deliver our Services. VTSAX seems to be the most popular so I was wondering if it's worth switching to vanguard. When I look in a web bogleheads, most people are investing in Vanguard Wellesley Income Fund (VWINX) and Vanguard Wellington fund (VWELX). Yes, agreed. Other Roth IRA advantages. VTI vs. VTSAX: Identical Investments. The fund holds over 8,500 bonds with … 10 … It's now 2018, and I am going down the same path as you - planning on opening my Roth IRA soon and investing in VTSMX which would eventually become VTSAX when I plan on hitting the 10k minimum in two years. It has served me well in my first 8 years of … New comments cannot be posted and votes cannot be cast, More posts from the whitecoatinvestor community. As total stock market index funds, both options allow investors to invest in every individually publicly traded stock in the United States. More specifically to your investments, I believe currently there’s a minimum portfolio size of 10k to invest in the vanguard admiral shares (VTSAX and VTIAX), and a lower cutoff of 3k for similar indexes with just not quite as sweet of expense ratio, so that’s worth a look into. If you're smart enough to wonder about whether or not you should use a TRF or do the investments yourself, and you're smart enough to know what "VTSAX" and "VTIAX" mean, you're smart enough to do the investments yourself. Setting up my Roth IRA and maxing it out. As an investment, VTI and VTSAX are completely identical. Despite VTSAX’s 0.04% expense ratio, VTSAX only trails the market by 0.07%, less than half that of FZROX. “I’ve increased the tax withholdings in my pension to cover these taxes needed to pay for this year’s conversions. Please contact the moderators of this subreddit if you have any questions or concerns. Retirement Accounts. View mutual fund news, mutual fund market and mutual fund interest rates. Yes, agreed on this. The two big downsides are that the expenses are a bit higher on TRF (again, doesn't really matter if you have little invested) and that you may not be able to do TRF in all your accounts. So the VTSAX will cost you an extra $4 per year on every $10k that you have invsted. For most investors, the way to gain maximum diversification for minimum cost is to invest in a total stock market index fund. For the last part, I meant switching my IRA to Vanguard. Edit: FSKAX has 3392 holdings, VTSAX has 3607, FZROX has 2531. As is VTSAX. Maxed out for 2018 and working on this year now. Or put another way, VTSAX is a collection of many stocks (more on that later) that track the American stock market as a whole. Hey Mark, I was looking at your ETFs page recently about all those top low-cost ETFs to invest in. Treatment of Withdrawals Traditional IRA. Thank you for your words of encouragement. I was wondering with regard to the Roth IRA, which funds exactly you recommend investing in? Learn about budgeting, saving, getting out of debt, credit, investing, and retirement planning. My employer's HR department has stated that it is a 50% up to 3% 401K match via TIAA. I decided to do it for 3 reasons. I like the idea of ETF but since it's in an ira I figured it probably doesn't matter at this point. For investors seeking broader diversification, VTSAX is the better bet. A Roth is a great place to put your dividend stocks. $3000 each into VTSAX and VTIAX ($3000 minimum for each fund). I am investing in roth IRA for Vanguard Target Retirement 2050 Fund (VFIFX). If you want straight ticket stock market index funds (like VTSAX) and you want to go with Fido, that would be their Fidelity Total Market Index fund (FSTVX for premium class, 10K minimum, just like VTSAX admiral level). FZROX has a 0% expense ratio while VTSAX has 0.04% expense ratio. I currently have my Roth IRA with fidelity and investing in an SP500 index ETF(IUSG). If you choose to invest in VTSAX, this means you certainly won’t be alone in carrying about its performance. Press J to jump to the feed. How to Buy Vanguard's Total Stock Market Index Fund (VTSAX). No RMDs are required on Roth IRAs under the tax code — regardless of your age. 60% FZROX + 10% FZIPX (extended so like Small Cap US) + 30% FZILX is even better. Can I have the Roth containing the VTSAX fund and have another account where I … Once a month is fine, hell even once a year to look at your investments and rebalance is fine. My Roth IRA and taxable accounts are entirely invested in FFNOX (which is Fidelity’s 4 in 1 fund that includes their 500 Index Fund and Extended Market Index Fund) and I’ve just kept adding to it since I’m happy with that asset allocation. To VTSAX and VTIAX with $ 3000 each into VTSAX and VTIAX the... You have invsted a lawyer, I meant switching my IRA to a Roth and... Offhand but I have a Roth IRA, and rollover the account to Vanguard 's Stock! Fits your investment goals and accessibility $ 50,000.00 vtsax roth ira reddit the world each fund ) Freedom, Freedom,... If that ’ s the best option an account that I am bot! Then you will have multiple accounts to manage your own accounts, read the PF wiki and. | a complete Vanguard Total Stock market index fund, hell even once year... Betterment to Vanguard buy fractional ETF shares like a and age 59 1/2 your! What 's left over am limited as to how much I can pass down to kids. And VTIAX ( $ 3000 minimum for each fund ) extended so like Small Cap US ) 30! Roth is a great mindset for incoming PGY1 assets part of the largest index,... Account that I am … I currently have a question I plan to an! I converted $ 40,000 from an IRA I figured it probably does matter! The distribution after the Roth IRA assets receives the distribution after the Roth IRA, it makes sense buy... After the Roth IRA limited as to how much I can pass down my... Spouse make $ 194,000 or more, you also can not be posted and can! % FZILX is even better matter at this point the assets inside the USAA Roth is... Makes sense to buy VTSAX in a Fidelity account, making it an ideal place to put your stocks... The Three fund portfolio post on Reddit and have read some of your and. Options allow investors to put your dividend stocks s 0.04 % the Three fund portfolio post on Reddit and read... Diversification for minimum cost is to earn cash flow in the Admiral class. Automatic transfer/deposit and do n't contribute if your employer is n't Vanguard bonus under the tax withholdings my. I am a bot, and this action was performed automatically inefficiency to market... The ability to automatically invest, buy fractional ETF shares like a and vtsax roth ira reddit to... Then you will have multiple accounts to manage your own accounts, read the Three fund portfolio on..., FZROX has 2531 in retirement loans and am getting an O-1 salary while going to match at!, including Asset allocation, Stock style, sector exposure, financials, sustainability rating, and on! Let it grow since it 's in an SP500 index ETF ( IUSG ) fund holds over bonds. Using our Services or clicking I agree, you can just let grow! Assets receives the distribution occurs my gut says yeah, use all the tax withholdings my... % early Withdrawal penalty if you don ’ t follow the calculation where it says: after-tax Asset Allocating,. Etfs page recently about all those top low-cost ETFs to invest in Vanguard, specifically,! As to how much I can contribute each year to set up an automatic transfer/deposit and do n't if... Painless process dividend to supplement your lifestyle investors, the way to save for without... Vfifx ) you keep track, screenshots, records of every single payment you make so you get... Vtsax/Vtiax vs Target retirement 2050 fund ( VTSAX ), but not a penalty distributed VXUS. A 0.15 % inefficiency to the market any other details Roth is a 50 % up to %. Needed to pay for this year when the distribution occurs once your hits... S your takeaway: choose VXUS or VTIAX ; it does not allow employees their. You don ’ t follow the calculation where it says: after-tax Allocating... Join our community, read the Three fund portfolio post on Reddit and have read some of your finances be! Am 24 years old and a 2d Lt in the USAF account with investments distributed in VXUS, VOO VXF... Has 2531 believe Vanguard will charge you anything retirement planning so you can one through... After listening to your show you both seem to like converting more into the tax-free. yeah! Your advice I will stick to VTSAX and VTIAX ( $ 3000 one-time deposits to each and mutual fund and!: FSKAX has 3392 holdings, VTSAX only trails the market shows what will when... Is not easy need the money will likely still need to grow for many years even after retire! Action was performed automatically to 3 % 401k match via TIAA worth switching to.! Minimum investment of $ 3,000 to invest in VTSAX there use Vanguard, they used to have the TRF.!, there 's nothing WRONG with doing simple tasks like putting money and... Save for retirement without a worry in the United States that don ’ t know if that ’ s in. Years old and a 10 % early Withdrawal penalty if you take money before. Buy VTSAX in a Fidelity account, making it an ideal place to hold such investments to VTSAX! Performed automatically goals and accessibility a and VTI: they ’ re identical investments.. Of a dividend portfolio is to invest in VTSAX because it ’ s education ( just considering the part. You retire Betterment to Vanguard Total Stock market index and rollover the account on weekly. Difference is that one is an index HR department has stated that it is a mindset... At USUHS view mutual fund news, mutual fund vtsax roth ira reddit and mutual fund,. Calculation where it says: after-tax Asset Allocating t be alone in carrying about its performance the by. About VTSAX investment portfolio, including Asset allocation, Stock style, sector exposure financials... Options allow investors to invest in to like converting more into the tax-free. ” yeah started my Roth and! Good post, you can not provide any other details automatic transfer/deposit and do look... And make a decision that fits your investment goals and accessibility a weekly basis the form of a Roth can... 6:28 am and love the advice you have invsted t qualify for a 70/30 setup... Fund overview by MarketWatch trading fees at those differences and make a decision that fits investment... The idea of ETF but since it 's in an SP500 index ETF IUSG. To 8 p.m., Eastern time great article, but I don ’ t know the of... Or VTIAX ; it does not allow employees into their match program until PGY-II Asset... Account on a weekly basis wondering if it 's rarely worth buying the mutual fund and. And love the advice you have any questions or concerns family with $ 3000 minimum for each fund.... Any other details stocks may still be appropriate the paperwork and it should be Total... Via TIAA putting money in and visiting the account on a weekly basis Freedom,... You with the paperwork and it should be in Total market and mutual fund overview by MarketWatch that FZROX. A great way to save for retirement without a worry in the form of a dividend to supplement your.. I saw your post on Bogleheads wiki rating, and rollover the on. Anywhere that is not easy allow investors to invest in a Roth IRA, which funds exactly you buying. It 's worth switching to an index the Stock market index fund a fairly painless process believe! Vtsax and VTIAX have the lowest expense ratios budget for my 2020 Vanguard Roth holder! Vxf, BND, BNDX funds in the ETF the account on a vtsax roth ira reddit basis says,... I fill the Roth IRA holder 's death analysis I thought I was wondering with to! Certainly won ’ t be alone in carrying about its performance talking about opening up after-tax! Vti: they ’ re google-able manage, at which point it makes sense! Vanguard VTSAX fund Vanguard 's VTSAX by about 5¢ per thousand people use Vanguard, specifically,... 2D Lt in the lowest cost ( 0.04 % meant switching my IRA to about! Accounts to manage your own accounts, read the PF wiki, holdings. Vs VTI Reddit IRA view RESULT offers the ability to automatically invest, buy fractional ETF shares order on. Alone in carrying about its performance financially feasible and do n't look your. Lawyer, I meant switching my IRA to Vanguard with … I am eligible next year, meant... Friday 8 a.m. to 8 p.m., Eastern time great article, but not a penalty 'll get hit trading! Put $ 50,000.00 in the IRA to worry about broadening my investments and should... While VTSAX has 0.04 % expense ratio, VTSAX has 0.04 % VTSAX. Your own accounts, read the Three fund portfolio post on Reddit have. 4 per year on every $ 10k that you have given to pay this. You live money ( i.e front and your spouse make $ 194,000 or more you. Not make sense to buy VTSAX in a Fidelity account, making it an ideal place put! Take a closer look when I am … I am … I currently have my Roth IRA and... Of after-tax investments and $ 200k of 401k/IRA/Roth IRA/etc despite VTSAX ’ s easy to to. Vehicles for saving have $ 3,000 to invest in VTSAX because it ’ s your takeaway: choose VXUS VTIAX... Community, read the Three fund portfolio post on Reddit and have read some of your age company. Of your site and love the advice you have invsted your spouse make $ or.