Advice needed for wife's projected lump sum.

[Lakebound]

I'm retired and currently have my TSP intact. My wife retires in May of 2019 and is choosing a lump sum from her employer in lieu of an "annuity" that would amount to a pittance in comparison to a lump sum.

The question is this: She desires to obviously do a direct rollover into an IRA to continue to grow her funds.

What fund managers would you recommend for her/us to use for her lump sum. I considered USAA but, it's her money and not mine so, she's not eligible for that.

My appreciation in advance.

Frank

 

[exnavyew]

Maybe seek the advice of a Certified Financial Planner?
The link below is just from a quick Google search and is NOT a recommendation.

One thing I would mention, depending on what state you live in possibly, is to make sure a CFP you might choose has a LEGAL fiduciary responsibility to act in your best financial interests. (Similar to lawyers having a LEGAL duty to represent you 'zealously', to the best of their ability.)

Best of luck! :smile:

Why Choose a Certified Financial Planner Professional | Let's Make a Plan

 

[tsptalk]

Does she need a fund manager or just an IRA with a diversified account or diversified fund (mutual or ETF)?

 

[blueroadster]

If you are an existing USAA member, you can establish a membership for your wife.

 

[Lakebound]

Does she need a fund manager or just an IRA with a diversified account or diversified fund (mutual or ETF)?

I would like to see her be able to manage her own fund. So, I'm thinking along the lines of an IRA with diversified funds.

 

[zzzgator]

One option would be to open a Vanguard IRA and transfer the funds into the Total Retirement Income Fund (VTINX). A low risk fund, she could then choose from different funds to allocate her money.

 

[Lakebound]

One option would be to open a Vanguard IRA and transfer the funds into the Total Retirement Income Fund (VTINX). A low risk fund, she could then choose from different funds to allocate her money.

I just forwarded your advice to her, thanks!

 

[Lakebound]

If you are an existing USAA member, you can establish a membership for your wife.

Hmmm, I didn't know that. Something else to consider. Thank you!

 

[Stoplight]

Hmmm, I didn't know that. Something else to consider. Thank you!

Did that with the Wife's 403(b) account (school system)...rolled it into a USAA Self-Directed Brokerage IRA. It was painless, at least on USAA's end...

Also, USAA made it pretty easy to set up a power of attorney on both accounts. Assuming you are happily married ( ), one is necessary for the spouse to be able to access your IRA account, IF you become incapacitated (stroke, Alzheimer's, whatever...). The beneficiary designation covers when you die, but we don't always go out that way ! :smile:

I think most financial institutions will let you do that, but be sure to ask...may save a hassle later !

Best Wishes !!!

Stoplight...

 

[Scout333]

Good advice Stop!

 

[uscfanhawaii]

LB, don't forget to let us know what your wife eventually did.
And how it worked out!
Could be a lot of people with similar situations.

 

[Scout333]

LB, don't forget to let us know what your wife eventually did.
And how it worked out!
Could be a lot of people with similar situations.

Actually my wife and I are considering changing from Prudential to another brokerage company for her IRA. Has anyone used Charles Schwab? Good/bad aspects?

 

[NightEagle]

Vanguard and Fidelity are very highly rated for their low cost funds. Fidelity seems to have taken the lead from Vanguard with their selection of no cost mutual funds and no minimum. Fidelity even just opened 2 no fee, no minimum, no expense mutual funds.

Fidelity seems to have the best platform for all things, Vanguard is more limited to research. If she’s wanting to buy individual stocks, then Fidelity is going to be the best, only $4.95 per trade, followed by Vanguard, then USAA.

Charles Schwab is also another good one, that one is right behind Vanguard and Fidelity. But I have no experience with them. They do have a great debit card if you travel overseas though, no atm or foreign transaction fees.

Disclosure: I have IRAs with USAA, Vanguard, and Fidelity. I highly recommend Fidelity or Vanguard over USAA for this, but love USAA for everything other than brokerage.




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[NightEagle]

Maybe seek the advice of a Certified Financial Planner?
The link below is just from a quick Google search and is NOT a recommendation.

One thing I would mention, depending on what state you live in possibly, is to make sure a CFP you might choose has a LEGAL fiduciary responsibility to act in your best financial interests. (Similar to lawyers having a LEGAL duty to represent you 'zealously', to the best of their ability.)

Best of luck! :smile:

Why Choose a Certified Financial Planner Professional | Let's Make a Plan

Please please please, if you use one, go to a fee only Financial Planner for some advice, don’t go to one that charges you to manage your money, especially since it sounds like she wants to do it anyways.


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