Personal Investments • Vanguard Target Date Funds. Dump or Switch or Keep?

Hello all,

We are considering making some adjustments to the following:

His - Vanguard Target 2030 (expense .080%) (Stocks 62.53, bonds 36.53)
Hers - Vanguard Target 2030 (expense .080%)

Here is what we are thinking about:

a. Move to a Vanguard Target 2040 fund (expense ratio .080%) (Stocks 77.33, bonds 21.89)
b. Dump Vanguard Target fund for VTSAX (expense ratio .040%) (VTSAX 80, Vanguard Total bond 20)

Specific questions:

1. Should we stay put with 2030 Target Date fund (Stocks 62.53, bonds 36.53). We are both teachers with pensions. So, we really won't be needing to access investments upon retirement. We can stay put and try to increase our contributions in both employer retirement plans (403b and 457b roth)

His -Vanguard 403b - 258,000 (15k annual contributions)
Hers - Vanguard 403b - 220,000 (15k annual contributions)
His - NYSDC 457b Roth - 63,500 (16k annual contributions)
Her- NYSDC 457b Roth - 63,500 (16k annual contributions)

2. What are the specific mechanics in switching from one fund to another fund?

3. I'm assuming I need to sell first, then buy? Is this a taxable event?

4. Is one is making a switch from one fund to another, does the timing matter?

I'm sure there are other things I'm not taking into consideration. Please feel free to give me a dose of reality.

Retirement Date for Him and Her: 2031

Thanks in advance.

Statistics: Posted by maestro1868 — Wed Dec 27, 2023 11:30 am — Replies 4 — Views 182

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