I just learned something and then checked my 401k. I didn't realize what "vested" meant - and that my employer's match really isn't even mine yet.
Anyway, so far this year I have contributed $1200 to a Roth IRA at Vanguard.
I have contributed $1600 to my work 401k account, I have $1800 "vested" in that account.
So if I wanted to lower my fees, better diversify, and lower my taxable income:
- I could rollover say $1500 to a Vangaurd Traditional IRA
- Increase 401k and Traditional IRA savings until I'm below $36,000 limit
- And further savings could be contributed to either my online savings account (underfunded emergency fund) or Roth IRA (up to total $5500 between both IRAs), or into my sorta lame 401k.
Don't go 100% stocks. A good rule of thumb is having "your age-5" as your bond allocation.
You are young and you have never experienced a market crash. You may think you can handle it but many people who thought the same couldn't in the last crash.
Your 401k fund selection doesn't look good though. You could do Small and Midcap in 401k, and Large Cap, Intl and Bonds in Vanguard Roth IRA or HSA.
Thanks for the advice. I have heard similar "rules of thumb" like your age = bond allocation or half your age = bond allocation. Either way...with all those rules I'm too low on the bonds I guess.
I probably would be very upset about a market crash. I would venture to say I have experienced a crash - I purchased my first house in Aug 2007 and right now I have lost 40% on it. I was panicking and considering bankruptcy until arebelspy and others on the forums talked me down. ha! I know I'd FLIP if I took a 40% hit on my retirement fund.
*so much to think about*
>.<