A downside of rolling an old 401k into a traditional IRA is it makes it more difficult to use the “backdoor” method to contribute to a Roth IRA, once your income exceeds the limit to contribute directly.I have a roth ira I generally lump sum max each year, and then my TSP and my wife’s 401k. But my old 401k which contains maybe 50% of our holdings I cannot add new money to. So the easiest thing in my mind was to roll the old 401k over to a tIRA where my roth is also located, put everything in VT since the option is there, and then set my future TSP and wife’s 401k contributions to 60% US 40% intl. Not sure how the exclusion of china in the TSP I fund makes it not “true global market cap” and maybe we are best putting all intl on the wife’s 401k since she has access to vxus.
Statistics: Posted by DIYtrixie — Fri Apr 26, 2024 4:41 am — Replies 9 — Views 1293