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Does anyone have any tips for starting up a roth ira? Ideally I'd like to have a mix of different funds, but most of them have some sort of minimum investment and you can only contribute $5,000 per year right?. It seems like it would take 2-3 years before I could have 4 or 5 different funds in my portfolio. I'm just worried about screwing myself over by starting out with just one fund.
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Jul 5, 2008 05:11
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"[panic posted:"] Thanks, thats a good idea. I just remembered I have a Roth IRA with Schwab that has about $4,000 that my grandpa set up for me many years ago. I wanted to set up a Vangaurd account and roll over my old roth ira into it. When I try to set this up I get a message saying "Your financial institution won't move your holdings directly into Vanguard funds. You'll need to sell your assets and move them into cash or a money market prior to the transfer. Contact a Vanguard associate at 800-669-8623 for help. We'll set up a conference call with you and your current financial institution to start the transfer." Is this going to trigger additional tax liability/penalties for selling off my ira instead of rolling it over?
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Jul 5, 2008 22:58
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Day 29 in Search for Lost Hog posted:I'm pretty new to this saving for retirement business. I want to open a roth IRA with Vanguard but I have just started working and am just starting to have a good amount of money in my checking account. It seems like I need a minimum $3000 to open one (multiple times that to split between different funds) , which I don't have. I guess my question is how much should I have saved up before I open a Roth IRA and start contributing to it. I'm in the same situation. I recently transfered a roth ira with around $3,800 my dad set up for me a long time ago into a Vangaurd account. I just put it all in their 2050 target retirement fund. In a year or so when I have some more money in there I'll worry about making a portfolio.
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Aug 4, 2008 22:46
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I haven't maxed out my roth IRA yet. Do you think I should wait until closer to the cut off, or start investing money now?
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Nov 24, 2008 03:01
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You can make 2008 ira contributions until April 15th right? If I contribute funds between January and April 15th and I have not already maxed my 2008 contribution, will it automatically go towards 2008 and not 2009? My account is through Vanguard if that matters.
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Dec 14, 2008 02:05
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AtomicGarden posted:I'm thinking of starting off with VTWSX, although it's done pretty poorly recently, but so has everything, right? I suggest you read the four pillars of investing book linked in the OP. mcpringles fucked around with this message at 08:38 on Jan 19, 2009 |
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Jan 19, 2009 08:11
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When I started my roth IRA I put all my money into Vanguard's 2050 target retirement fund. My plan was to build my own portfolio with 4 or 5 funds once I got enough money to diversify. Right now I have a little over $7,000 and have not contributed for 2009 yet. Since most of my money was put into the IRA before the market went to crap, my shares aren't worth what they were when I bought them. Would it be wise to wait until the market rebounds to build my own portfolio? My shares were worth $18-20 when I bought them and now they are about $14. If so, should I keep investing in the target retirement fund, or put my 2009 contributions in bonds?
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Feb 5, 2009 03:47
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I'd check to make sure there aren't any account fees. The versions of this I've seen at other banks charge a $10-20 monthly maintenance fee for the savings account. As NZAmoeba said, even if you use your debt card for all your purchases, you will probably only get $15 at most each month.
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Apr 1, 2009 01:48
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theDoubleH posted:Does the $3000 minimum at Vanguard apply to the entire account, or to the individual funds? If it's the latter, does that mean I need $20k+ to have a properly diversified portfolio? I have ~ $2k (split about 50/50 between PREIX and PEXMX - not at all diversified, I know) in a T Rowe Price account, and I plan to contribute enough per month, starting in August, to max out a Roth IRA this year (including the $2k). I'd like to open it with Vanguard, but is that feasible? Should I just open it with T Rowe Price and transfer it to Vanguard in a few years? Last year when I moved to Vanguard I already had $3K with Schwab. I put that plus $5K into one of the target retirement funds. This year I put 3K into international stocks, and 2K into a bond fund (plus transferred 1K from the target retirement). Next year I will probably transfer everything out of my retirement fund and into stock funds. So yes you can have a diversified portfolio with Vanguard, but it will take a year or two to get it set up with a few funds. Like var1ety said, a target retirement fund is a decent starting place, especially if you aren't yet sure what to do with your money. I think the 2050 fund is 10% Bonds/ 15% International/ 75% US stocks, which isn't my ideal allocation, but with only a few thousand dollars invested, it probably wont make much difference.
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Jun 28, 2009 23:36
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Tortilla Maker posted:Should I just leave my 5% yearly contribution in the L2040 and forget it about it for the next few decades? Your link didn't work, but I'm going to assume that fund is similar to any other target retirement fund. They are generally fine if you just want to deposit money and forget about it. They have allocation percentages that most people would not find optimal and would prefer to make their own portfolio. For example I first put my Roth IRA funds in Vanguard's 2050 fund which has 72%US/10%Bonds/18%International. For me the bond and international allocations are too low, but it's better than no diversity. If you do want to create your own portfolio, it's a good place to park your money until you decide how you want to allocate it. quote:Also, I would like to start making Roth IRA investments, but I don't have enough money saved up at this time to do the $3,000 minimum. Is it recommended that I begin as soon as I can afford a fund, or is it best to save until I can purchase multiple funds and thus diversify my portfolio? quote:If I play the government game properly, I might near 90k in as little as 5/6 years. If that's the case, I would only have the next 5-6 years to contribute into IRA's?
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Oct 9, 2009 03:04
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80K and any other savvy folks, what are your thoughts on using one fund for the US stocks portion of your portfolio (VTSMX) versus splitting it up between large/small cap, growth/value, or both?
mcpringles fucked around with this message at 01:27 on Nov 15, 2009 |
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Nov 15, 2009 01:21
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that one guy posted:I'm planning on opening up a Roth IRA account but am trying to decide who to use. I am currently moving my checking/savings over to Schwab from Chase because they offer good interest rates and don't have minimum fees/balances/etc. The Schwab Checking/Savings accounts also require I open up a Schwab brokerage account but I don't have to use that account or pay any fees for it. No you aren't. Vanguard has lower expense ratios, which means more money for you in the long run.
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Dec 26, 2009 18:05
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Anyone care to comment on my portfolio? I'm trying to decide what to do with my 2010 IRA contribution. I have been toying with the idea of splitting my US stocks into small/large cap. I'm not quite sure how much I should increase my bond allocation to offset the added risk. I looked up Larry Swredroe's portfolio, but I don't know if I could pull that off. Right now I have about 16K in my IRA. The 3K minimum for NAESX is about 15% Current: VBMFX 25% (Total Bond) VGTSX 37.5% (Total International) VTSMX 37.5% (Total US Stock) Idea for 2010: VBMFX 35% (Total Bond) VGTSX 25% (Total International) VLACX 25% (Large Cap Index) NAESX 15% (Small Cap Index)
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Jan 2, 2010 22:32
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80k posted:That sounds ok and is a fair adjustment in equity/bond ratio in response to the greater risk from small-tilting. You might find the Small Value index fund to provide better diversification though, since you are investing in Roth and are not concerned about tax efficiency. Thanks 80K. Should I also go with the large value instead of the large cap index then? I was going to go with the large/small cap index's because they have both value and growth stocks, but since they are heavy on growth stocks I guess it isn't really diversified anyways?
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Jan 6, 2010 02:45
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Well, I'm a moron. I contributed $5,000 into my Roth IRA and sold off my target retirement fund for some other funds. I did my allocations by dollars instead of percentages. So now $13.00 of my $20,000 Roth IRA is in VFIFX, which I can't sell for 3 months.
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Jan 26, 2010 22:37
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I was thinking of adding 10% in REIT's to my portfolio, but after reading http://www.bogleheads.org/wiki/Percentages_of_REITs_Present_in_Vanguard_Index_Funds VLACX has 1.3% and VISVX has 9.4% in RETI's so I'm wondering if I should even bother? My current portfolio is: VBMFX 30% (Total Bond) VGTSX 30% (Total Internatnional) VLACX 25% (Large Value) VISVX 15% (Small Value)
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Jan 3, 2011 04:25
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kaishek posted:Any thoughts on this? What is social choice?
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Jan 24, 2011 00:02
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Is there an easy way to figure out how you need to spend your $5,000 IRA contribution to rebalance your portfolio with Vanguard? I make an excel spreadsheet and plug in random numbers until I get it to work, but there has to be an easier way.
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Jan 6, 2012 15:08
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Inertiatic posted:Thanks for the replies guys. I'm very new to this so I really appreciate the patience. How much are you paying for grad school? If I were you I'd use the money for school so I didn't have to take student loans and worry about retirement once you get a job.
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Feb 19, 2012 02:13
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Kneel Before Zog posted:I just have a general question regarding what people here think about the naysayers who say the past 50 years where you could just invest your money for the long term in the market and come out the better for it are over. Investing is dead and you have to be a trader to compete in today's market. I'm not an investing expert or anything, but I've made a decent amount in my IRA and 401K since I started in 2008.
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Jan 4, 2013 01:31
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