😆 haha! I noticed that too and headed straight for the comment section to see if anyone else noticed. IYKYK

Thank you for watching! Glad it was helpful. :)

Glad it was helpful, thank you for watching!

Thanks for calling that out! I'll probably remake this video at some point. :)

You have HSA account with Schwab?

@@thehiddenexperience4116 yes, my old HSA was with TD Ameritrade but Charles Schwab bought them , so my HSA transferred to CS.

You know, that's a great question. I can't seem to find anything about that online. My gut says that it will match whatever you have set up currently in your portfolio, because you're not able to set up automatic investing for a specific mutual fund until you buy into that mutual fund first.

Thank you so much!

Too much held in cash. Only good for lottery winners, big lawsuit winners, or huge family inheritance. Better choices are SWPPX, SWTSX, or SNXFX in an IRA.

Totally agree! Thank you very much for watching. :)

Usually end of day. Either the 5th and/or 20th of the month.

Great question! I actually invested in the two mutual funds you see purely for the purposes of making this video. This Roth IRA typically only has the 2 ETFs you see, no mutual funds.

@@AlexRaePersonalFinance fantastic! Definitely had me curious. Are you able to put your own spin on a video about staying the course in investing and any new strategems in a high interest environment? Thanks and keep up the great content

Thank you for watching! Great question. First - just want to clarify something. A Schwab index fund is a specific investment. A Roth IRA is an account that you can make investments in. They're different categories. So in your example, you can have a Roth IRA in which you invest into a Schwab index fund. Regarding what you should do with your old 401(k), you have a few options: 1) Keep it with your old employer. Usually not recommended because it's easy to forget about and employer-managed accounts often charge higher fees, especially if you're no longer an employee at that company. 2) You didn't specify whether your 401(k) is traditional (pre-tax) or Roth (post-tax). I'm going to assume it's traditional. You could roll it over into a Traditional IRA at a brokerage like Schwab, where you have a lot more oversight and control over the account. If your 401(k) is also traditional, rolling it over into a Traditional IRA won't be considered a taxable event since you're keeping it in the same "format". When you eventually withdraw the money to use for retirement, you'll have to pay taxes on it just like you would in its current location in a Traditional 401(k). 3) If your 401(k) is traditional (pre-tax) you could also consider rolling it over into a Roth IRA at a brokerage like Schwab. Major warning: this is a taxable event. You're converting a pre-tax account into a post-tax account. This means that you'll need to pay taxes on the money you contributed / roll over. (I'm not a tax professional and I can't remember off the top of my head exactly how it's taxed, but I'd estimate between 20 and 40% depending on your income.) If your income is low and you're in a low tax bracket, this might make sense to do. Remember: Roth accounts are essentially the opposite of Traditional accounts. Instead of getting taxed when you withdraw the money, you get taxed when you contribute it. So if you roll it over to a Roth IRA, you'll pay taxes now, but you won't have to later. Basically - rolling it over into an IRA is probably your best bet. Whether you roll it over into a Traditional IRA or a Roth IRA will depend on your current 401(k) type and whether you want to keep the money in the same type. Personally - I typically keep it in the same account type (Roth to Roth or Traditional to Traditional) because it's much simpler and I'm in a relatively high tax bracket. Now that I've typed this all out, I'm wondering if I should make a video on the topic! You're definitely not the first person to ask me this question. :) Hope this helped!

@@AlexRaePersonalFinance Oh thank you so much young lady! And yes, make a video because some people say leave it at the old job, but I prefer to know where everything is located! I think others (my age 😇) will benefit from the future video.

In my experience, no they can't be auto invested.

Correct. That said, Charles Schwab does offer a "Charles Schwab Intelligent Portfolio" which is essentially a robo-advisor that auto-invests in a pre-selected number of ETFs. However, you need at least $5,000 to opt into this portfolio option and it tends to carry a higher cash percentage which can drag down your returns.

It's like that on most of the big old school brokers. Only E*Trade is the exception for ETFs. New school brokers like M1 Finance, SoFi, Robinhood, and Webull allow ETF investing automation.

And M1 Finance.

Great question. My guess is that Schwab will just cancel your remaining contributions if you reach the contribution limit, but I'm not sure. You can also just work it out mathematically - currently the IRA limit is $6,000, so if you make monthly $500 contributions, you'll max it out by the end of the year without going over.

That's a fantastic idea, thank you! I'll add that to my video list. :)

Awesome! You’re the reason why I opened a Roth IRA through Charles. I learned so much from you. I just recently maxed out my 2020 contribution. Keep up the great content.

That's so nice to hear, thank you! 🥰 I'm so glad you've found my videos helpful!

If you go to the Online Transfer page and scroll down, do you see anything listed under "Recent Transfer Status"?

@@AlexRaePersonalFinance Oh yes! I see that now. I didn't see the edit/delete buttons before. Thank you!

No problem!

Mutual funds can be index funds too. ETFs can be actively managed too. SWPPX is an Index mutual fund that follows the S&P 500. VOO follows the same index, but it is an Index ETF.

Why do you think they make it bloody difficult? They want to make you buy the shitty options that they offer.

@@PhilipposACosta SCHX, SCHB, SCHK, SCHG, and SCHD aren't bad choices for Index ETFs. Check their performance on portfolio visualizer. I do agree that Schwab wants people to use their funds. Same as Vanguard and Fidelity.