Quote:
Originally Posted by RunKC
Met with a financial advisor to talk about my 401k. I'm upping my contribution from 6% to 7 and most likely 8 next year.
Didn't realize that 43% of my 401k was in the company's stock and was actually down for the year.
I think I'm going to roll with a target date fund as it seems more conservative and better planned out. 53% is in that but I'm strongly considering adding far more than 53%.
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Target date funds are boring, but as long as they're managed reasonably well, they're a great option. For a while, I just did 100% in a target date fund and left it alone. In theory, that's how they're actually designed to work. If you have a portfolio where you have other stuff going on, it technically messes with your overall allocations. Not a big deal, but I wouldn't ever do like 25% in a target date and then a bunch of other stuff - it defeats the purpose.
Just make sure that the fees (expense ratios) are reasonable. You really shouldn't be paying more than 1% in fees, so if it's much higher than that, you might want to reconsider your options.