Vtsax minimum investment reddit Decide if you prefer mutual funds or ETFs (I prefer mutual funds). 14% (vs. , IRA), I would simply invest in the ETF equivalent until you can get the MF minimum and make the switch then. You will only lack the investment minimum for a few months at the beginning of your investment career. VTSMX is the investor class equivalent to VTSAX. (M1 Finance may allow this for ETFs, otherwise I'm unsure of any others) Mutual funds always trade at the NAV, ETFs can drift from it (controls are in place to try to prevent any drift from becoming too large for too long, but spikes do happen). On $1,000,000 in assets 1bp is only $100/yr. Essentially you need a minimum $3k to buy your initial VTSAX investment. Buy the TDF with future contributions. An alternative is to buy VTI, the ETF equivalent and then when you have 3K, you can sell without worry of taxes and buy VTSAX. So, to get there I started investing in VTI. Due to other brokerages getting into the low-fee index fund market, often with lower minimum investment requirements, Vanguard stopped offering new investment in the "investor If you intend to buy VTSAX in your 401(k), just call Fidelity on the phone and tell them you want to set up a "periodic" investment to purchase $100 of VTSAX every two weeks. You will be charged for the first transaction, but all purchases made beyond that point should be free. consider it a stupid tax and just move on and do thorough research next time before making any investment decisions! you have the right idea trying to buy a low cost broad total stock market index fund. Save up $3K. Don't let a fund minimum like this commit you to a long-term investment in something you'd prefer to avoid (e. VTSAX's 0. Oct 23, 2024 · VTSAX has 0. Dec 5, 2024 · VTSAX has a buy in of $3,000. g. VTSAX is much larger from a net assets perspective. my question is has this been changed sinve the book was written or am I looking at the wrong thing. It was higher - I think $25K (or maybe even more) for an actively managed fund. VTI has no minimum investment like VTSAX does. 04% expense ratio and VTI only has 0. VTI can be traded all day, VTSAX only EOD. But at some point (I think after ETFs became a thing), they lowered the minimum for Admiral class in index funds to match the minimum investment. If you look them up, you will immediately see that the investor class has higher expense ratio but a lower minimum to invest. Once I had $3k invested in VTI I sold that, and bought the $3k of VTSAX needed to get started. Though, the Fidelity fund is still large. Every investment after you meet that minimum can be whatever contribution amount you want. If taxable, I would probably say that if you don't have $3K to meet the minimum investment in a single fund, it could be indicative that maybe investing in taxable isn't the right move for you at the present time. They would be in contrast to investor class shares. VTSAX was established 11 years earlier. This frankly isn't that significant. But, really, if you’ve invested $3k in VTSAX, I would recommend just leaving it there forever. ETFs). Vanguard’s fund has a $3,000 minimum investment vs $0 for Mutual funds offer automatic investing. The difference between a TDF and a LS fund is that the former’s asset allocation glides as the fund nears retirement age, whereas the latter maintains a static allocation. Once you have that, you can invest any amount you want. Vanguard Total Stock Market Index Fund Admiral Shares (VTSAX) have an initial minimum of $3,000. We have some VTSAX, but the minimum buy is $3,000, so we have to wait until we have $3,000 available every time we want to buy more. 04%). Admiral shares are a class of shares in mutual funds. The latter shouldn't matter if you intend to hold long term (which you should). The $3K minimum got you investor class with a higher ER. What happens if I buy $3,000 today, and then tomorrow the fund's value drops, and my investment is worth less than $3,000?. If tax-advantaged (e. At that time Vanguard offered VTSMX, the "investor share" version of the same "Total Market" index with a $3k minimum investment but an ER of 0. Is there anything comparable that has a $1K minimum buy? I’d like to buy $1,000 per month versus saving up $3,000 and only buying every quarter. In order to invest in VTSAX, you need an initial minimum amount of $3,000. Get (and give!) advice on investment portfolios and financial planning goals for retirement (401k, Roth, IRA, HSA) and taxable investing accounts, particularly stock and bond mutual funds and ETFs - learn tips for tax efficiency and other account optimization strategies. 03%. My husband and I both have accounts at Vanguard. Many of the people who frequent this sub are new investors, and one of the phrase that “Bogle heads” live by is “time in the market not timing the market”, so it doesn’t make much sense to tell new investors who might not have a whole lot of money to throw into the market at once to save up the minimum 3k to enter VTSAX. Then invest in VTSAX. After your initial investment, you can buy exact dollar amounts moving forward. Then save up until you hit the minimum. com Apr 17, 2024 · In addition to VTSAX, you can pick up an international index fund, and Vanguard also offers a Total Bond Index if you want to invest there as well. Doesn't matter if market pushes your account below $3K. use the following search parameters to narrow your results: subreddit:subreddit find submissions in "subreddit" author:username find submissions by "username" site:example. but you have to do VTI (Vanguard total stock market ETF) or FSKAX (Fidelity total stock market mutual fund, sorta their version of VTSAX). If you have the discipline to do the manual process of moving money from your checking -> Vanguard then buy shares on a monthly basis, VTI is better than VTSAX cause there is no minimum investment + the ETF can sell like a stock. Hi all, I've been reading "The simple path to wealth" by JL collins and in the book he states that the minimum to buy admiral shares of VTSAX on vanguard is 10,000 dollars. From what I see is that the minimum is 3,000. You Need a Minimum Amount to Invest in VTSAX. Expense ratios are both very low, but Fidelity’s fund is slightly lower (the difference is so small that it should not affect investment decisions). gzuqhc mxsax wqssv tsfkfs iaa wkvugd sxbvury oeulq oplargh ckzwb awqayx plp sxcv ijkewz byyb