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Gina NY

choosing a 403b plan

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I’ve been busy this weekend and haven’t been able to respond as much as I’d like! I’ll get back to you about the funds. Thanks! And I’m happy someone else will benefit from this as well! 

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4 hours ago, krow36 said:

American Funds doesn't wave the 5.75% load on their class A funds for their K-12 403b, according to 403bcompare. https://www.403bcompare.com/products/55#/investmentoptions

Krow is correct because I was one of those idiots paying it. At least American has somewhat low fees once you clear the load. I would be interested in knowing what Keven's wife is paying in expense ratio after the load.

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5 hours ago, krow36 said:

American Funds doesn't wave the 5.75% load on their class A funds for their K-12 403b, according to 403bcompare. https://www.403bcompare.com/products/55#/investmentoptions

I know about the 5.75% for years. 6% is a notch higher and thought it might some other mutual fund. They still charge 5.75%? I am surprised that with all of the lawsuits since the early 2000s, they have not lowered or eliminated the load. 

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I’m going to go to the Omni site to fill out a new salary reduction agreement. So what you suggest is leave my AF as is and start a new one? Correct?

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If you agree that you should stop making further contributions to your AF 403b account, then yes, fill out a new salary reduction agreement that makes that happen. There is no harm to just letting your AF account just sit there for a while and hopefully grow while you make up your mind about what to do with it. In the meantime you can get the Aspire 403b account set up. After Aspire tells you it's ready, you can fill out a new salary reduction agreement. These things usually take a week or so, although I bet Aspire will be faster than 403b insurance companies usually are. 

Are you able to get online access to your AF account? If you don't have it, I suggest you set it up with them. There's usually a lot more information on your account online than there is on the paper statements. 

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5 hours ago, Gina NY said:

On my statement it says that 0% is in money market yet there is a balance.im confused. 

How much is the MM balance? It might be such a small amount that it rounds off to 0%?

At some point in the past, you must have had some money in the MM account, maybe when you first started? If your current balance is very low in this fund, then that's fine. I was concerned that you had a significant amount in the MM account, which is not a good idea. It earns very little interest these days and doesn't count as an investment, just as a handy place to park money temporarily. 

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