New Contributions

[dieselscout80]

How do you handle your new contributions?

Do you have them go to the G fund and then decide where to allocate it?

Do you have a set buying like say: 25% G; 0% F; 25%C; 25% S; 25% I

Other???

Carey

 

[Birchtree]

I've been 100% C fund since 2/04, my daughter and some military buddies are 75% C fund and 25% I fund. These are longer term allocations to benefit from DCA and redeem the auto-pilot strategy. However, the more selections you have the fewer shares you accumulate and that's the sacrifice for diversity.

 

[tsptalk]

It depends how active I am in my account. If I am making more than one or two interfund transfers per month in my account, I don't worry too much about contributions because it all gets moved with the next transfer anyway. If, however, I stay in one fund for more than a month, I move my contribution allocation to match my current interfund transfer allocation.

You could always just do both a matching interfund transfer and a contribution allocation change at the same time.

 

[Rod]

How do you handle your new contributions?

Do you have them go to the G fund and then decide where to allocate it?

That's exactly what I do so my contributions are not lost on a bad market day.

 

[Wolverine]

It depends how active I am in my account. If I am making more than one or two interfund transfers per month in my account, I don't worry too much about contributions because it all gets moved with the next transfer anyway. If, however, I stay in one fund for more than a month, I move my contribution allocation to match my current interfund transfer allocation.

You could always just do both a matching interfund transfer and a contribution allocation change at the same time.

Tom or anybody who wants to reply.

I am not understanding completely this type of action with what you are explaining here. Is it possible to make it more detailed or maybe easier?

Something isn't connecting in the Brain Cells yet with this. LOL

My bi-weekly contributions are going 100% into C Fund.

In your one example here......If your in one Fund for a Month you would take your present contributions that are going into another Fund and put them into the current Fund you are in at that time for that Month?

Thanks for any help with this.

 

[tsptalk]

After being in the stock funds for a while this past summer, I was in the G fund from about September through December. Once October rolled around and I was still 100% G fund, I changed my contributions to 100% G as well so that my entire balance was in G. When I started to jump in and out of F and G earlier this year, I didn't change my contributions to F because it was of little consequence to my account's performance.

If you have a $10,000 balance for instance, and you add $10 to it every other week, even a big move in the stock market won't affect that $10 very much. A 1% moves makes you a dime on that, but it gives you $100 on your $10,000. The point being that it is such a minor deal that I don't bother doing a contribution change, but after two or three pay periods, I will make sure they contributions are moved to the same allocation as my accoun't allocation. I will also do another interfund transfer at that point to put that new money that accumulated for a few pay periods, into that 100% allocation in this instance.

Clear as mud?