I'm almost 37 years old. I'm thinking of retiring in a year or so, but I don't think I'm quite set up properly yet, but I'm not sure how to get set yet to actually do so.
I basically have very little bonds now except a few in my TSP (basically fed employee 401k) account, but I'm thinking I should move some of the below assets into a Vanguard bond fund. What do you think I should do? My initial reaction is to take a good portion of the savings account and putting it into Vanguard Total Bond Market Index (VBTLX) and then sucking it up and pay the taxes and transfer some of the Dividend fund (how much? is it wise to do at all?) to the same fund since that's the one with a higher 0.33% fee. Then I'd use a combination of the bond and stock funds to live on when I retire. I think that's the way to simulate the advice here (
http://www.mrmoneymustache.com/2011/05/16/mmm-reader-case-study-the-man-who-didnt-realize-he-was-already-rich/) since I already have such a high percentage in stocks.
Or I could just skip all that, save the taxes, and spend the next year just buying mostly VBTLX bonds with my take home salary to balance things out instead of being 98% in stocks.
Also I was thinking of moving my Roth IRA to Vanguard as well, but putting it into cheaper stock funds like the Total Stock and Total International Stock.
I've calculated my spending to be about $20k (maybe a bit more, but I can certainly cut) as a single guy but if I retired I'd probably move somewhere with cheaper housing (I rent now) as the only reason I put up with the expensive housing now is for the job.
Vanguard Taxable Funds
VFIAX 500 Index Fund Admiral $120k 0.05%
VDIGX Vanguard Dividend Growth Fund $60k 0.33%
VIGAX Vanguard Growth Index Fund Admiral $65k 0.08%
TRowePrice Roth IRA
Capital Appreciation - Roth IRA PRWCX $23k 0.7%
Equity Index 500 - Roth IRA PREIX $19k 0.27%
New Horizons - Roth IRA PRNHX $34k 0.79%
TSP: $171k
Health Savings Account: $2,200 (this HSA is pretty new and I think I'm going to be maxing it for 2016 and 2017)
Savings Account: $34k (this really has to move somewhere more useful)
Net: $529,264.38
Thanks a lot for any suggestions.