401(k) allocations
- Thread starter clarnzz
- Start date
UpstateNYUPSer(Ret)
Well-Known Member
I recently "hired" a financial advisor and he really likes our Bright Horizon funds. He called them the "401K for Dummies", which he meant in a positive way. Choose the fund which is closest to the year that you will be retiring and your 401k will be on auto-pilot. If you are an aggressive investor you can choose a BH fund with a date earlier than your projected retirement year and conversely you can choose a fund with a later date is you are more conservative.
My performance has been more predictable with far fewer fluctuations since I restructured my 401k to the BH 2020 (I retire in 2019).
My performance has been more predictable with far fewer fluctuations since I restructured my 401k to the BH 2020 (I retire in 2019).
kingOFchester
Well-Known Member
Diversify. If you think you taxable rate will be lower then what it is now, you may want to put your money in the traditional 401k. For me, at this point in time, I am putting 75% in the roth and 25% in the traditional. Maxed out the contribution. Also have a scottrade account that is set up as a roth. I max out that account. Play with the money a little more. 50% of the account is tied up in SPY. The other 50% tied up in dividend stocks paying roughly 5% yield. I also have a TDwater house account where I own individual stocks for long term gains. (gains is the plan anyways) FDX being one.
As far as the 401k allocations, it is spread out amongst 7ish funds.
Diversify and contribute until it hurts. Do not count on pension. Plan as though there is not a pension. For me, if I could leave early and not get the full pension but healthy enough to still enjoy retirement........I would do it and leave some pension money on the table.
As far as the 401k allocations, it is spread out amongst 7ish funds.
Diversify and contribute until it hurts. Do not count on pension. Plan as though there is not a pension. For me, if I could leave early and not get the full pension but healthy enough to still enjoy retirement........I would do it and leave some pension money on the table.
texan
Well-Known Member
UpstateNYUPSer(Ret)
Well-Known Member
By G_d's Grace, that is where some of mine is at.
Is there some reason you don't use the word God?
texan
Well-Known Member
It is Jewish background teaching. I personally do not have a problem with it.
According to Jewish beliefs, any document that contains any of HaShem's names
becomes holy and cannot be destroyed.
To avoid accidentally destroying a document with any of these names, Jews modify
the spellings.
I know the internet, BC is not a document, but in honor of those that believe this way
(part of my background) I do this.
According to Jewish beliefs, any document that contains any of HaShem's names
becomes holy and cannot be destroyed.
To avoid accidentally destroying a document with any of these names, Jews modify
the spellings.
I know the internet, BC is not a document, but in honor of those that believe this way
(part of my background) I do this.
Brownslave688
You want a toe? I can get you a toe.
I think u got that wrong if your aggressive choose one after your retirement date and conservative before. The way these work is the closer u get to the target date the more money they move into stable low growth investments.
kingOFchester
Well-Known Member
You are correct.
UpstateNYUPSer(Ret)
Well-Known Member
I wrote this from memory and on my first cup of coffee so I could have gotten them backwards.
Brownslave688
You want a toe? I can get you a toe.
I understand property values should go up but 40% should not be in one sector for sure. I also do not see property values beating the overall market for the long haul. It will be years before a large percentage of the population forgets the bust. Therefore we will resist over inflating prices. Anything is only worth what someone will pay for it and it'll be a long time before people will pay big property again.
Look into a financial advisor like 'Upstate' said , it is what they do. You tell them your goals and they tell you what to do.
UpstateNYUPSer(Ret)
Well-Known Member
My advisor works for Edward Jones. He is on my delivery route. We have had three meetings thus far, with a 4th scheduled for September, and I have yet to pay a fee. The only time I will have to pay is if I decide to set up an account with EJ and let my advisor manage those funds, which I will probably do in January 2013.
At age 37 w/3 kids you would be an ideal candidate for a financial advisor.
We have had ours for a few years now. We meet a couple times a year now
I GOT ONE MORE
Well-Known Member
No advisor is worth his/her advice if you don't understand completely what they are saying. They need to teach you, not tell you.
You should be able to explain their advice to some one else. You need to be educated and comfortable with your money affairs.
If you don't understand it, don't do it.
You should be able to explain their advice to some one else. You need to be educated and comfortable with your money affairs.
If you don't understand it, don't do it.
moreluck
golden ticket member
We had our guy since 1992. He went from Merrill Lynch to Smith Barney to Schwabb and we followed him. We recently were going to get into a real estate deal with him and 2 of his partners. I had my input and said no, since they were looking for buildings in Long Beach.
Hubby went with him anyway. And we have not heard from him in months. His wife died of breast cancer a year ago. We called his home phone and it was disconnected. He has school-aged kid. His partners haven't heard from him either. It's like he vanished. The important question was is our money still there.....and it is. Whew!
We referred a lot of UPS'ers his way because lots of them left in 2000 and were needing investment advice. We thought having a friend (?) would make him more careful with our assets. We are just with Schwabb now.....and thank goodness still intact.
Hubby went with him anyway. And we have not heard from him in months. His wife died of breast cancer a year ago. We called his home phone and it was disconnected. He has school-aged kid. His partners haven't heard from him either. It's like he vanished. The important question was is our money still there.....and it is. Whew!
We referred a lot of UPS'ers his way because lots of them left in 2000 and were needing investment advice. We thought having a friend (?) would make him more careful with our assets. We are just with Schwabb now.....and thank goodness still intact.
Brownslave688
You want a toe? I can get you a toe.
The only type of advisor you should ever see is a fee only advisor. Never ever ever sign up with someone that gets commission on your account. I'm not sure buy I'm betting Edward jones is commission based. I don't care how good of a friend or how close you are to someone that's commission based your best interests are not being met. Please check out this website if your looking to talk to an advisor. http://www.napfa.org/
UpstateNYUPSer(Ret)
Well-Known Member
He has restructured my 401K and pointed out a tax withholding error that I had made which if left uncorrected would have resulted in an unpleasant surprise next year. He is not commission based---he has a fee structure for any transactions within a Edward Jones account. I feel very comfortable with him and know that he has my best interests at heart. I also know that he has to make a living.
brownmonster
Man of Great Wisdom
I remember questioning your decision on withholding. Glad you got it straightened out before you wrote the big check to Uncle Sam.
UpstateNYUPSer(Ret)
Well-Known Member
Tell me about it---I only had $1K withheld for Federal taxes as of the end of June.
brownmonster
Man of Great Wisdom
Ouch.
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