Thread: Intrepid_Timer's PUBLIC Account Talk

Actually, you only need to put in 5% to get the full matching contribution from your agency. But that additional 1% won't hurt.

https://www.tsp.gov/planparticipatio...ibutions.shtml

Originally Posted by Intrepid_Timer

Well, my advice is, and always has been, put 6% into your TSP to get the full matching of 5% and then fully fund a Roth IRA ($5000/year). If you have anything left over, you could put it in TSP also. Or maybe even start an allotment to go into your own self-directed IRA account to take advantage of pre-tax dollars but to also not have all your eggs in one basket. There are just so many more options outside of TSP. Can't beat the matching funds though.

Originally Posted by coolhand

Actually, you only need to put in 5% to get the full matching contribution from your agency. But that additional 1% won't hurt.

https://www.tsp.gov/planparticipatio...ibutions.shtml

Yes, we get an automatic 1% for being a FERS employee. ...

Originally Posted by law87

well the question is, is it wise to contribute both TSP AND roth IRA or just try and maxing out TSP

One other thought, I understand there is supposed to be a Roth option in the TSP in 2011. Could be lower fees than some of the commercial brokerages. Haven't really seen any information about how it is to be structured and what fund options will be available though. Hmmm.

https://www.tsp.gov/PDF/formspubs/oc06-5.pdf

How do expense ratios work exactly? I know that when holding mutual funds long-term, high expense ratios can really eat into your profits. I see Vanguard with really low ratios (.18%), and other ones, specifically the short-term trade fund families, with very high ratios (1.7%). How does this affect the trading strategy when choosing funds with varying expense ratios, or is it not as big a concern since you are expecting such high returns?

Also, how are these expense ratios deducted from your account, especially if the funds are bought and sold numerous times a year?

Thanks!

Originally Posted by coolhand

Actually, you only need to put in 5% to get the full matching contribution from your agency. But that additional 1% won't hurt.

https://www.tsp.gov/planparticipatio...ibutions.shtml

I stand corrected. Thanks! For some reason I was thinking they matched the first 4% at 100% and then 50% of the next 2%.............

Originally Posted by safeskies

How do expense ratios work exactly? I know that when holding mutual funds long-term, high expense ratios can really eat into your profits. I see Vanguard with really low ratios (.18%), and other ones, specifically the short-term trade fund families, with very high ratios (1.7%). How does this affect the trading strategy when choosing funds with varying expense ratios, or is it not as big a concern since you are expecting such high returns?

Also, how are these expense ratios deducted from your account, especially if the funds are bought and sold numerous times a year?

Thanks!

I don't have the answers to these questions. Since I trade my accounts and don't hold them for long periods, I don't really pay much attention to expense fees.

Perhaps Mr. Birchtree could answer. As long as he doesn't come in preaching about the greatness of buy and holding................

Originally Posted by JTH

I won't get into a "My ROTH IRA is better than your ROTH IRA" as I only know mine and have zero experience with others. I will say two things, number one your right, USAA is (or seems to be) a bit out dated with next to nothing for trading tools.

However, if you have a ROTH IRA (not a regular brokerage account) none of those rules you stated apply. I assure you I don't have 15K in my IRA and the minimum mutual fund pruchase amount is 50 bucks.

Hey JTH, I called USAA today and I was told that they only allowed six trades per year from their mutual funds!?!?!? Have you had any problems with that? That could potentially make I_T's system tricky if that's the case.

[/QUOTE]With Vanguard, they have so many good funds to choose from that the 60-day rule isn't much of an issue. You simply choose a different stock fund (and one of the ones that has no fees) when you want back in the market. So in effect there are no limits to trading in and out with Vanguard, and you could use all of IT's buy/sell signals to your full advantage and do better than in the TSP. I've been doing that for many years with my daughters college funds, and consistently doing better than my TSP account. You also don't have the silly TSP noon deadline, you can make your move any time right up to just before the closing bell. I will never understand why TSP won't allow that. With the monthly limit on moves, what's the logic of eliminating that small advantage of being able to make the decision late in the trading day?[/QUOTE]

I noticed that, right now I've been able to manuever around the 60-day rule doing pretty much doing the same thing, just wondering if there was a better way. There's many Vanguard funds that match up well with the C fund, but beyond the Extended Market Fund, I need to do some research to see what other funds match up well with the S fund. I like Vanguard mostly becasue of the low fees (which is why I dumped Janus finally, almost 2% on some of their funds ).

But like I mentioned before, I'm fairly new to this stuff, so I'm still learning. For years I just dumped money into the L funds, it feels good to be actively managing my $.

Originally Posted by No-Hackle

Hey JTH, I called USAA today and I was told that they only allowed six trades per year from their mutual funds!?!?!? Have you had any problems with that? That could potentially make I_T's system tricky if that's the case.

Can't say I've noticed that, but then again, last year I didn't make many trades, I stayed long and bought my way to the top, then made a final exit in October to loan the money to a family member. My Mutual funds for this year are long-term holdings with a manual trailing stop.

Bear in mind, unless you have a day traders account, each time you sell something, you'll have to wait 3 days for the funds to settle.

IT,
is a day traders account easy to open at brokerages such as Scottrade or Fidelity?

S&P 500 and Dow appear to be topping at 1300 and Dow 12000 and Commodities are moving lower.... Does not bode well for overall Market direction ?? I'm looking for a move to F Fund with your System very soon... 2/1/11 Will tell.