401K Allocation Help!!

[phillyboy87]

Hello All,

So I honestly am pretty unaware of my 401k allocations and would love some guidance on what would be a good allocation. I have been reading that target funds are a bad idea. Currently I have 100% of my funds in a 2050 fidelity target fund. I contribute 10% a month but may be dropping it to 6%(company match) and putting 5% in employee stock purchase plan(free money). Any advice would be greatly appreciated!

These are my options...

1 Blended Fund Investments -- BTC LIFEPATH RET L %
1 Blended Fund Investments -- BTC LIFEPATH 2020 L %
1 Blended Fund Investments -- BTC LIFEPATH 2030 L %
1 Blended Fund Investments -- BTC LIFEPATH 2040 L %
1 Blended Fund Investments -- BTC LIFEPATH 2050 L 100% %
2 Stock Investments Large Cap VAN VALUE INDEX INST %
2 Stock Investments Large Cap VANG INST INDEX PLUS %
2 Stock Investments Large Cap VANG GRTH INDEX INST %
2 Stock Investments Large Cap FID GROWTH CO POOL %
2 Stock Investments Large Cap FID CONTRAFUND POOL %
2 Stock Investments Mid-Cap ARTISAN MID CAP %
2 Stock Investments Small Cap VANG SM GR IDX INST %
2 Stock Investments Small Cap DFA SM/MD CAP VAL %
2 Stock Investments International RUSSELL INTL VALUE %
2 Stock Investments International RUSSELL INTL GROWTH %
2 Blended Fund Investments -- PIM INFL RESP MA IS %
2 Blended Fund Investments -- PIM ALL A ALL AUTH I %
2 Bond Investments Income PIMCO TOTAL RETURN %
2 Bond Investments Income VANG ST BD IDX IS PL %
2 Short Term Investments -- FIMM MONEY MKT INST %

[jIM_Ohio]

Hello All,

So I honestly am pretty unaware of my 401k allocations and would love some guidance on what would be a good allocation. I have been reading that target funds are a bad idea. Currently I have 100% of my funds in a 2050 fidelity target fund. I contribute 10% a month but may be dropping it to 6%(company match) and putting 5% in employee stock purchase plan(free money). Any advice would be greatly appreciated!

These are my options...

1 Blended Fund Investments -- BTC LIFEPATH RET L %
1 Blended Fund Investments -- BTC LIFEPATH 2020 L %
1 Blended Fund Investments -- BTC LIFEPATH 2030 L %
1 Blended Fund Investments -- BTC LIFEPATH 2040 L %
1 Blended Fund Investments -- BTC LIFEPATH 2050 L 100% %
2 Stock Investments Large Cap VAN VALUE INDEX INST %
2 Stock Investments Large Cap VANG INST INDEX PLUS %
2 Stock Investments Large Cap VANG GRTH INDEX INST %
2 Stock Investments Large Cap FID GROWTH CO POOL %
2 Stock Investments Large Cap FID CONTRAFUND POOL %
2 Stock Investments Mid-Cap ARTISAN MID CAP %
2 Stock Investments Small Cap VANG SM GR IDX INST %
2 Stock Investments Small Cap DFA SM/MD CAP VAL %
2 Stock Investments International RUSSELL INTL VALUE %
2 Stock Investments International RUSSELL INTL GROWTH %
2 Blended Fund Investments -- PIM INFL RESP MA IS %
2 Blended Fund Investments -- PIM ALL A ALL AUTH I %
2 Bond Investments Income PIMCO TOTAL RETURN %
2 Bond Investments Income VANG ST BD IDX IS PL %
2 Short Term Investments -- FIMM MONEY MKT INST %

I would invest 60% stocks and 40% bonds until you do more research.

20% 2 Stock Investments Large Cap VANG INST INDEX PLUS
20% 2 Stock Investments Small Cap VANG SM GR IDX INST
20% 2 Stock Investments International RUSSELL INTL VALUE
20% 2 Short Term Investments -- FIMM MONEY MKT INST
20% 2 Bond Investments Income VANG ST BD IDX IS PL

Google Asset allocation and decide if this is correct for you or not.

I would also advise that 6% is not enough, 10% is not enough, and you should be thinking in terms of a 20-25% contribution.

For example 20% pre-tax to 401k and 5% to ESOP.

[autoxer]

I have been reading that target funds are a bad idea. Currently I have 100% of my funds in a 2050 fidelity target fund.

Why are target funds a bad idea?

[feh]

Why are target funds a bad idea?

+1

There's absolutely nothing wrong w/ target date funds. If you don't want to take the time to learn about investing and how to choose an AA, they are very useful.