Is this too agressive for just starting out.

[dannyboy]

Update.

15% income going into tsp as of may 1st.


60%C, 20% S, 20% I

thank you all for the informative advice. above is where I'll sit for a good minute while I research on other options and investment plans etc.

Right now I'm Filling my head with knowledge.

*********************************************************
Put the max in you can, you can be tough in areas? After awhile, it will become the norm.

 

[law87]

Hey falcon, I recommend you sign up for intrepid timer service. It's expensive at first but its your retirement and if you have money to play stick to his etf and you will make a little side cash. Gluck man

 

[Boghie]

Falcon,

Good job on maxing your contributions. TSP is a tremendous asset - especially for civilians because of the match. Regardless, it is transferable - unlike a pension. It will follow you for the rest of your life.

There a lots of things I don't want following me - but money ain't one of them


Anyway, there is very little value in holding any G/F Fund assets at your age and with your balance. Place the assets in the C/S/I. Save the G/F for 'market timing' and more importantly a safe zone while in your 50s+. The normal long term 11% growth of the 'C Fund' (better for S, a little worse for I) will make you a very rich oldster. The 'G Fund' will have you scraping the last vestiges of Alpo from a rusty can behind the veterinarian’s office. At your age you absolutely need growth. That is what separates TSP from a bank account.

 

[Falcon53h]

thanks everyone for the support and advice.

 

[Hybrid93Hatch]

The key for me is to know what price you bought in at and to never lock in a loss

How do you know what price you bought in if you have been buying for years and each time purchased was a different price?

 

[Boghie]

How do you know what price you bought in if you have been buying for years and each time purchased was a different price?

Hybrid,

That is a difficult problem. I would recommend that you really don't incorporate the pricing of your contributions. BigJohn is probably talking about documenting and using the pricing of IFT transfers - at least the large(ish) ones. Trying to factor in all the salary contributions in any meaningful way would drive one nuts.

 

[tsptalk]

I agree with Boghie. In an IRA type account like the TSP, where taxes aren't a consideration, selling one day doesn't "lock in" a loss. Until you retire and pull you money out, the game continues to play.

It's like a professional poker player who plays every day. He (or she) will inevitably have losing days and they don't keep playing on those days because they don't want to lock in a loss. They quit, get some sleep realizing the game just picks up the next day. What happens on a given day, week, or month doesn't mean much. You just calculate the win/loss at the end of the year.

Sometimes selling, particularly when the market is going against you, is a good way to just step aside and reasses - like the poker player who needs sleep and a good meal before getting back in a game.

JMO

 

[law87]

hello everyone,

I am 25 years old and have recently taken interest in my tsp account.

I have been going in at 100% towards the G Fund and have saved 5922.00 over time doing so contributing 3% over five years from my income.

I now am contributing 10% and just recently switched to the L2040 %50
and the C,S,I 50% (20, 15, 15)

Being new is this change up too agressive? Is it wise not to put into G and F funds?

i'm 24 and contributing 18% i say the L fund is good if you want to just set it and forget it, but these guys in here are seasonal and they can give you a better answer. for me i personally go with IT premium service and it work well for me last year, for this year it's not where i want but my ETF account has been growing pretty good.

 

[jkenjohnson]

I agree with Tom.

 

[BigJohn]

As my 2011 returns prove, my investment strategy is clearly superlative to any other...and therefore any comments otherwise are clearly either incorrect, or malicious in nature. Having said that, let me address two points:

"That is a difficult problem. I would recommend that you really don't incorporate the pricing of your contributions. BigJohn is probably talking about documenting and using the pricing of IFT transfers - at least the large(ish) ones. Trying to factor in all the salary contributions in any meaningful way would drive one nuts."

Boghie is correct, I use the price data from the date I move into a fund...and even though the value may fluctuate before I move out, I use the move in date price as a way of keeping it simple. Also, I always am either all in or all out...which makes my strategy a little easier to manage.

I agree with Boghie. In an IRA type account like the TSP, where taxes aren't a consideration, selling one day doesn't "lock in" a loss. Until you retire and pull you money out, the game continues to play.

We disagree, I consider it locking in a loss whenever I move out of a stock at a lower price than I bought in. I understand the impact of wild fluxuations between your buy in price and the date you want to sell...but again, I keep it simple while sacrificing some accuracy.

To those that haven't read my posts before (I have been gone a while), rest assured my opening line was in good fun.

Best of Luck

BigJohn