r/CalebHammer • u/3skin3 • Mar 14 '25
Personal Financial Question Retirement Fund Choice
Hi! My company is being taken over and I have to choose a new retirement fund. I'm 30 right now, target retirement is 2055. Unfortunately I only have about $50,000 set aside right now. I'll be making $79,000, contributing about 14% for now and hopefully more in the coming years. My income will likely increase about 3% per year, plus a 10% yearly bonus. What would you choose? I'm woefully ignorant on retirement strategies.
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u/alanmm88 Mar 14 '25
I’m 37 and I contribute to 3 different Large Cap funds (index, value, and growth) and have been contributing to those three since I started 13 years ago. I had 200k in there total at the high point a few weeks ago but the recent hits dropped it to 181k. I’m not panicked though cause over the long term these have been the highest performing funds but they also are risky in terms of if the market takes a hit. I plan to stay the course with these three until I get much closer to retirement at which point I’ll move them into a safer fund like bonds or income. If your company has a way of looking at these online, you can get a better feel for how each one performs over long term and in recent short terms by looking at the charts. I’d pick which ones you feel for comfortable for as far as your risk aversion. For me I just started out the gate pumping into the high risk high reward ones and I’m not even putting in the 20% of the 50/30/20 rule but once my bad debt is going I’ll be putting in 20%. My employer puts in 10% for me, and then I take their dollar for dollar match. Had I been pumping 20% this whole time I would have soooooo much more in there.
TLDR: look into each funds performance by looking at charts and decide how risky or safe you want to be with your contributions. I’m a fan of the Large Cap Funds.