Emergency funds: Yes
Debt: ~895K mortgage debt at 2.75%, 30yr fixed, 27 years left
Tax Filing Status: MFJ (Married Filing Jointly)
Tax Rate: 35% Federal, 0% State
State of Residence: WA
Age: 37
Desired Asset allocation: 85% stocks / 15% bonds
Desired International allocation: 23.5% of stocks (20% overall)
Approximate size of total portfolio: $2M
Current retirement assets
Taxable (Schwab)
1.4% cash (for investing – do not include emergency funds)
45% Schwab Total Stock Market Index Fund (SWTSX) (expense ratio: 0.04)
10.4% Schwab International Index Fund (SWISX) (expense ratio: 0.11)
0.2% stock company name (SWAGX) (expense ratio: 0.05)
9.1% Meta Platforms (META) (expense ratio: 0.00)
His 401k #1 (Fidelity)
5.1% Vanguard Total Bond Market Index Fund Institutional Shares (VBTIX) (expense ratio: 0.04)
55% (of the 4.9%) was from company match, and 20% of it is in ROTH
His 401k #2 (Fidelity)
15.9% Vanguard Target Retirement 2050 Fund (VR 2050 Trust) (expense ratio: 0.08)
17% (of the 15.4%) was from company match, and 44% of it is ROTH in-plan conversion via mega-backdoor roth
His 401k #3 (Fidelity)
2.4% Fidelity Freedom Index 2055 Fund - Premier Class (FTYPX) (expense ratio: 0.06)
No company match, 39% (of the 2.3%) of it is in ROTH
Her 403b #1 (Fidelity)
6.6% Vanguard Target Retirement 2055 Fund (VFFVX) (expense ratio: 0.08)
No company match
Her 403b #2 (Fidelity)
2.8% Vanguard Total Bond Market Index Fund Institutional Plus Shares (VBMPX) (expense ratio: 0.08)
No company match
Her 403b #3 (Empower)
1.1% various funds (---) (expense ratio: high)
Unknown company match
_______________________________________________________________
Note: Total percentage of all the above accounts together (not each account individually) should equal 100%.
Contributions
New annual Contributions
$23k his 401k (also specify any employer matching contributions)
$23k her 403b (also specify any employer matching contributions)
$130k taxable (for retirement, not short term goals)
Available funds
Funds available in his 401(k)s
Various Fidelity options
Funds available in her 403(b)s
Various Fidelity options
Additional Information:
2 kids under 5, 1 house, likely planning for private school for both.
Questions:
1. Big picture, where can we improve and further optimize our portfolio?
2. should I move bond allocation to taxable and put stocks in tax-deferred since I won't touch tax-deferred money for a very long time?
3. should I roll all retirement accounts into 1 for me and 1 for wife? Can we do that with 403(b)s?
4. should I rollover to a vanguard IRA?
5. should I switch to vanguard instead of schwab for taxable?
6. We also have a house which isn't included in the requested data format - should I do something like a reverse mortgage at some point to increase return on capital tied up in my house? If so, when should I do it?
7. How do I get private market exposure but do it with bogleheads principles?
8. What should my allocation be if I'm trying to retire ASAP (say in the next 5 years), but also plan to earn income after retirement through higher risk business ventures like starting my own business, working at seed stage startups or up-skilling myself via continuing education?
Thanks so much for reading this far and for all your contributions to the forum and community - Bogleheads has been a great source of education for me - and I love to learn. Especially when it results in more freedom and control over my life.
Cheers!
Debt: ~895K mortgage debt at 2.75%, 30yr fixed, 27 years left
Tax Filing Status: MFJ (Married Filing Jointly)
Tax Rate: 35% Federal, 0% State
State of Residence: WA
Age: 37
Desired Asset allocation: 85% stocks / 15% bonds
Desired International allocation: 23.5% of stocks (20% overall)
Approximate size of total portfolio: $2M
Current retirement assets
Taxable (Schwab)
1.4% cash (for investing – do not include emergency funds)
45% Schwab Total Stock Market Index Fund (SWTSX) (expense ratio: 0.04)
10.4% Schwab International Index Fund (SWISX) (expense ratio: 0.11)
0.2% stock company name (SWAGX) (expense ratio: 0.05)
9.1% Meta Platforms (META) (expense ratio: 0.00)
His 401k #1 (Fidelity)
5.1% Vanguard Total Bond Market Index Fund Institutional Shares (VBTIX) (expense ratio: 0.04)
55% (of the 4.9%) was from company match, and 20% of it is in ROTH
His 401k #2 (Fidelity)
15.9% Vanguard Target Retirement 2050 Fund (VR 2050 Trust) (expense ratio: 0.08)
17% (of the 15.4%) was from company match, and 44% of it is ROTH in-plan conversion via mega-backdoor roth
His 401k #3 (Fidelity)
2.4% Fidelity Freedom Index 2055 Fund - Premier Class (FTYPX) (expense ratio: 0.06)
No company match, 39% (of the 2.3%) of it is in ROTH
Her 403b #1 (Fidelity)
6.6% Vanguard Target Retirement 2055 Fund (VFFVX) (expense ratio: 0.08)
No company match
Her 403b #2 (Fidelity)
2.8% Vanguard Total Bond Market Index Fund Institutional Plus Shares (VBMPX) (expense ratio: 0.08)
No company match
Her 403b #3 (Empower)
1.1% various funds (---) (expense ratio: high)
Unknown company match
_______________________________________________________________
Note: Total percentage of all the above accounts together (not each account individually) should equal 100%.
Contributions
New annual Contributions
$23k his 401k (also specify any employer matching contributions)
$23k her 403b (also specify any employer matching contributions)
$130k taxable (for retirement, not short term goals)
Available funds
Funds available in his 401(k)s
Various Fidelity options
Funds available in her 403(b)s
Various Fidelity options
Additional Information:
2 kids under 5, 1 house, likely planning for private school for both.
Questions:
1. Big picture, where can we improve and further optimize our portfolio?
2. should I move bond allocation to taxable and put stocks in tax-deferred since I won't touch tax-deferred money for a very long time?
3. should I roll all retirement accounts into 1 for me and 1 for wife? Can we do that with 403(b)s?
4. should I rollover to a vanguard IRA?
5. should I switch to vanguard instead of schwab for taxable?
6. We also have a house which isn't included in the requested data format - should I do something like a reverse mortgage at some point to increase return on capital tied up in my house? If so, when should I do it?
7. How do I get private market exposure but do it with bogleheads principles?
8. What should my allocation be if I'm trying to retire ASAP (say in the next 5 years), but also plan to earn income after retirement through higher risk business ventures like starting my own business, working at seed stage startups or up-skilling myself via continuing education?
Thanks so much for reading this far and for all your contributions to the forum and community - Bogleheads has been a great source of education for me - and I love to learn. Especially when it results in more freedom and control over my life.
Cheers!
Statistics: Posted by cityfamilyguy — Tue Apr 09, 2024 1:49 pm — Replies 2 — Views 89