Hey, thanks everyone for the replies! Super helpful.
JJsfr - Good point with the IPS. I need to research this more. As for target allocation, ultimately I may want to go towards something like 56% Domestic Stock, 24% International, 20% Bond. Within domestic, that might be 80% large cap and 20% small and mid. Right now since I'm not dealing with large sums of money and just trying to get going, I'd like to keep the number of asset class / index funds to a minimum (perhaps 4). That's part of why I'm slightly bummed I first purchased VFINX over VTSMX, because I would have gotten small cap exposure without purchasing another fund. That thread you linked to is great. It may make sense to counterbalance VFIAX with NAESX, though it would be a while before I would hit admiral shares with a balanced asset allocation.
As for tax efficiency, sounds like it's not a bid deal. I had read this could be a consideration because the S&P periodically adds and deletes stocks, incurring distributions.
You mention tIRA - I'm already maxing my Roth at $5500, so this wouldn't work for me? I'll look more into it.
DrFunk - Thanks for the book recommendation, I'll check it out. What appeals to me about the value averaging approach to gradual investing is that you invest at both market lows and highs, but buy more at the low point - resulting in higher returns than dollar cost averaging.
webguy - Thank you for the input on tax efficiency. That makes sense to me. I also agree with your comment on international diversification. I'm eyeing the VTSMX but I guess it's not eligible for foreign tax credit since it's a "fund of funds".
MustacheAndaHalf - Revealing numbers on tax efficiency. Doesn't seem like much of a difference.
MoonShadow - Interesting, I had not considered the Roth IRA as a potential emergency fund. Definitely some attraction there over holding a ton of cash.
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So from these replies I'm getting the message that VFIAX is not that tax inefficient, so don't take the capital gains hit to switch over to the total market. I need to develop my IPS, and get international diversification. Also, the Roth IRA can potentially act as an emergency fund.
I welcome any other thoughts! I'll probably have more questions as my journey continues.