Hi everyone!

[sks11]

Hi everyone-

I am a new federal employee and I know very little about investing, the market or anything that could really help me out with my tsp account. I've been browsing through different threads and reading a lot of different information but I just don't know what to do! It would help me out a lot if some of you experienced tsp'ers could answer two questions for me.

1. I have all of my money in the G fund right now. If you were in my situation right now how would you distribute your money through out the different funds and why? Also, when do you know that you need to move your money?

2. As an experienced investor, what has been the most helpful tip that you have learned along the way?

Thanks for all of your advice in advance!

 

[alevin]

Hi sks and welcome! Biggest tip I can give you after 20+ years in FERS is to put a minimum of 5% of your gross pay into TSP each and every pp-to make sure you get the matching 5% from de gov.

After that, I'd say, build yourself a cash cushion of 3 months salary for emergencies as soon as you can. there was a tense period of time in the 90's when the gov shut down for a couple weeks (could have been longer too) and people living paycheck to paycheck were sweating bullets because they didn't have an emergency stash of cash to fall back on for even a month.

After that, start reading and learning and watching what people here do and why. Watch the autotracker and join it. Think about your time horizon-30 years maybe? The closer to retirement, the more conservative people tend to get, the farther away from retirement, the more risks you can take, because you have longer to recover from market conditions and learning booboos.

 

[jimijr]

If you are new you're probably not making much to begin with, so go with the 5%. If you put it all in the L2040 or L2050 (when available) you'll do fine for a while, a long while. As you advance, use half your COLA's and step increases to add to the 5%. It takes money to make money is the biggest thing I've learned, so accumulate.

Use the time to get educated. When you start getting up toward six figures in the account, like ten years from now, then you can get tricky with real advantage. Until then, don't sweat it, don't even think about it, let it grow without interference.

Coming to this board is a good start. Welcome! There are some very astute individuals here, ready to help you. You just need to figure out who those are,

 

[Zebe]

I suggest that you watch the moves of the leaders in the AutoTracker. Check out their year to date percentage gains and their moves from fund to fund. Also check out www.tspcenter.com where you can open a fantasy account and test your market skills without risking your funds. TspCenter also has a leader board and you can check the moves of those on that website. Check out the commentary on both websites. There are lots of websites that offer educational information on charts. Learn all you can. Best wishes.

 

[nasa1974]

sks11,

Welcome aboard. Some good information given out so far. The key is to invest as much as you can afford and start to educate yourself on investing. Good luck.

 

[Steadygain]

I am a new federal employee and I know very little about investing, the market or anything that could really help me out with my tsp account.

Then you've got years ahead of you and honestly need to plan for the long run. The BEST way to do this By Far is by NOT allowing yourself to have a 'mindset' that you can BEAT the Markets.

Such a 'mindset' will keep you from missing the bulk of gains and all the more cause you enormous loss.

1. I have all of my money in the G fund right now. If you were in my situation right now how would you distribute your money through out the different funds and why?

I would move the Bulk to S Fund and the rest to C (and I).

Despite being the COUNTRY most responsible for the 'damage' the US is still the 'Trump Card' and it will lead the WORLD out of the 'Recession'.

This is actually 'A Different Time' - despite the same charts that have been at play over many years. This 'Reccession' has brought about some very huge shifts and transitions. It's really too bad we don't have more investment options in other regions available.

The main reason why you would shift everything from G (F) to S,C,I is because the 'Recession' has dragged on long enough and the 'nature' of humans (investors) can only deal with so much 'depression'.

We had already dealt with the major underlying problems that created this Recession and are in a 'Recovery' - adjusting stage. The existing Companies are incredibly SOLID and currently have at least $2 Trillion in Cash -- ready to invest in the MARKETS. Our NEXT upswing will be the defining MOMENT -- the Moment when the BIG Money has determined it's time to 'INVEST'.

The longer you wait, the more you'll miss out and when the Markets really take off -- those GAINS are 'missed' forever.

Also, when do you know that you need to move your money?

Look where it is. If it's not in S, C, or I - then it's in the wrong place.

Go for the Long Run and ignore the day to day. In a few years when we have Hit all time RECORD HIGHS and are towards the END of the Greatest BULL Market in History -- Shift to G (F).

Like everything else -- the MARKETS move in 'long range' cycles.

When in Doubt ---- ask Birch

 

[nnuut]

Welcome to the MB sks11.
Best of luck
Norman

 

[tsptalk]

Welcome sks11! I hope you find your answers!

#2. Saving - start young and keep at it.

 

[sks11]

Thanks for the advice everyone. I'll admit I still don't really know what I'm doing but i guess I"ll get the hang of it eventually!

 

[Steadygain]

Thanks for the advice everyone. I'll admit I still don't really know what I'm doing but i guess I"ll get the hang of it eventually!

No one does dear friend; and every system that finally makes itself known pretty much 'pluments'.

Investing 'too closely' makes it a million times harder because every successive 3 days looks like something ENORMOUS. So your stomach goes in knots or you're reeling in excitement.

I wish I could just flex my biceps and let you touch them -- for that would probably make your 'confidence' SOAR :blink::toung: - but such is our world that we must stand on our own.

We'll probably learn as much from you -- as you do from us.