Opening an account with Vanguard
I’m 65, involuntarily retired (laid off 10-1-24) and started SS 1-1-25. I listen to you on WGN radio and thus, just bought a t-bill through Treasury Direct.
I have 2 401ks that I believe you’ve said should be moved since I’m no longer working.
I went to open an account with Vanguard and need to select if I want to manage it or have them do it. I obviously don’t know what I’m doing so think they should manage it but are there concerns or pitfalls that I should be aware of?
Thank you for all you do to try and educate people like myself.
Terry Says
Well, that all depends on the fees. Vanguard has several options, but mostly they refer people to financial advisors who charge fees on top of the mutual fund fees.
This would be a good time to seek advice from your own fee-only FIDUCIARY advisor. Read this, and let Pam connect you with one of her carefully-vetted fee-only advisors.
https://www.terrysavage.com/pam-krueger-wealthramp/
You could certainly do this yourself, using the Vanguard government securities money market fund for half of it, and perhaps their equity-income fund for the balance…. But I hesitate to give advice because I don’t know your risk tolerance, what income you will have and what expenses you will have now.
That’s why you should at least set up the first free meeting with a fiduciary advisor to figure out the basics.
PS don’t do the rollover until you get this organized. Then be sure you’d doing an IRA rollover directly from your old 40lk plan. Here’s something else to read:
https://www.terrysavage.com/rollover-now/
