New Retirement Plan, two vendors?
April 25, 2007
Here’s an interesting twist I didn’t see coming: The university has posted our new retirement plan information online, which I’ve filled out, so all I have to do now is decide which funds I want. The matched 5% goes to the 401(a) and is less than my current contribution, so I’m going to continue to contribute to the Supplemental Plan [my current 403(b)] as well. Turns out they allow me to contribute to different vendors for each plan. So, do I want to branch out to Fidelity/Prudential/TIAA-CREF plus Vanguard? Or just stick with Vanguard? (Ok, probably not TIAA-CREF, I’ve heard too many horror stories about them.)
On one hand, I feel uneasy about keeping all my money in one basket. On the other hand, it’s probably better to keep all the accounts under one roof. That way, I’ll pay fewer fees for non-retirement account investments when I become a valuable, high-account-balance customer.
In the meantime, I should re-evaluate the funds I’ve got and whether or not I want to change my allocations.