Personal Investments • Which Account for Treasury or CD Ladder?

I have a two year Treasury Note ladder in my after tax account. I am out of room in my tIRA, plus tIRA withdrawals are both federal and state taxed for me while the after tax account at least avoids my state tax.

Does being ‘out of room’ mean the fixed income
allocation is the max of what you want it to be for the tIRA?

Many (most?) Bogleheads do not have their asset allocation (AA) by account.
Instead, they have an AA for the entire portfolio (mine is 55/45).
Then to minimize taxes paid, they arrange their holdings across all accounts to meet both objectives (aka tax-efficient asset LOCATION).
This often results in a tIRA account being 100% fixed income (FI) ('out of room' in this account to hold more FI).
If more fixed income is needed to meet the overall AA objective, the remaining FI might be in the Roth IRA, or in the taxable brokerage account.
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My simple, self-managed, low-cost, tax-efficient, basically-3-fund portfolio is held mainly at Schwab.
Maximum expense ratio for any single fund/ETF in the portfolio is 0.07% (SGOV).

Taxable brokerage account (Schwab): 100% VTI (Vanguard Total Stock Market ETF).
Roth IRA (Schwab): 64% SCHB (Schwab US Broad Market ETF) and 36% SCHF (Schwab International Index ETF).
Traditional (rollover) IRA (Schwab): 58% 30yr TIPS ladder, 21% BND (Vanguard Total Bond Market ETF), 21% SGOV (iShares 0-3 Month Treasury Bond ETF).
HSA (Optum Bank): 100% VITSX (Vanguard Total Stock Market Index Fund).
Checking account (large national bank): few hundred dollars to pay monthly bills.
Summary below.

Statistics: Posted by oakbluffs — Thu Apr 18, 2024 12:18 am — Replies 9 — Views 824