Hi all,
I have been maxing out my 401k (really it's a 403b because I work at a nonprofit) as well as my IRA (via Vanguard) for the last year and a half. The problem is that the lowest expense ratio for any 401k option at my workplace is 1.37%, which is the one I'm enrolled in and now have $33,000 tied up in it. I only make about $35k a year so I don't really need to the tax sheltering* like higher wage earners do and my employer match is only about 4% of my annual salary. I'm thinking it might make sense for me to contribute more of my salary to my non-retirement Vanguard (VTSAX) account instead of maxing out my 401k with its shitty fees. Please help me do the math here and figure out what the best strategy is to optimize my taxes and savings. Thanks in advance!
*I had needed the tax sheltering for 2014 and 2015 due to selling inheritance stocks that were tied up in Ed Jones but now I'm pretty much just working with my 35k salary this year, which is why I'm looking for a new strategy