I am doing a bit of a reset with my Investments and opening a new Retirement plan with Vanguard this week. I don't trust salesmen as I've has Insurance Salespeople trying to get me to invest for the last year, but I'm all ears to you guys, despite being total strangers!
I am 49, retiring when I am 56. Will be receiving a pension, no SS. Pension will cover 90% of my expenses. 100% if I get a little more Frugal.
I will be moving my tIRA all Stock MF from Edward Jones to Vanguard.It has about 35k and I haven't touched it in over 8 years, SADLY. It's been in all stocks.*It will be the first thing I withdraw from when I'm 59.5. I calculate that as a supplement to my Pension each month, after tax, that it will last me 7-10 years barring any surprises. I want to keep the tIRA*moderate, reducing my current risk and at the most so I want to make it more balanced.*
I will also open a new 403b Roth through my school district and it would supplement my pension when I'm closer to 70 so it would compound for 20 years. I'm hoping I don't even need to touch it and pass it on to my 2 kids.*
The following are my thoughts on where to allocate my investments...
tIRA- VBIAX ( Balanced Fund) it has only 0.7% and has performed well over the years. I believe it is passive. OR*Target Date Fund 2030, but fees are a little higher. I think it is active.
The 403b- This is where I'm a little unsure. Possibly a 2 or 3 fund Portfolio? Or is there a mutual fund that would be just as good? I am willing to be a little more riskier here since it will sit for 20 years, I hope.
While I am learning a lot about Investments, I am not assuredly confident that I can manage my own investments. That's kinda scary! I will admit I am naturally risk averse, but if something happens to an investment, I would leave it alone knowing that it will eventually go up.
I just want to be smart as I am getting close to retirement. I'm no longer in my 20's! Haha
Thank you in advance.