Hi all,
I've been reading/lurking for a year or so and really enjoy all the stories, wisdom and discussions here. Thank you to all of you who make this place so great!
Mostly I find answers to any question I have either from current posts or from the archive so haven't needed to post. But today I have a question.
I started a Roth IRA a couple years ago at Vanguard and the balance is currently approx. $7500. I have the funds in a targeted retirement fund with fees at .18. I have been contributing every paycheck this year and am on track to max it. However, after reading the posts about pre-retirement vs. post-retirement income, I realize it makes more sense for me to contribute to my Traditional IRA since my income after retirement will be significantly less than it is now.
I would like to transfer my roth IRA funds into VTSAX with lower fees but I need a higher balance to be able to do that. So my question is, does it make better financial sense to continue to contribute another year or so until I have enough to transfer the money into that fund or should I switch to contributing to Traditional now and forget about the difference in fees? Or does it not matter? Math is not my strong point so any advice would be greatly appreciated.
Sonja