Help: Vanguard target date fund adjustments

Hi YNABers,

I am wondering if anyone knows if it's easy to switch the "target date" in a vanguard target date fund and whether or not that makes a difference for this scenario:

Switching the date by 5 years from 2050 to 2055, with 30-35 years left of growth. 

Thanks!

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    • nolesrule
    • Stealing From the Future fix is an improvement but is incomplete....
    • nolesrule
    • 3 wk ago
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    The difference between target Date Funds is the timing of the glide slope to decrease stock allocations and increase bond allocations. Currently, both have the same composition. The glide slope begins to kick in at 20 years out from the target date and levels off when the target date is reached.

    Switching a tax advantaged account has no tax consequences and is just a matter of whatever mechanic the account has to change funds. If it's an IRA at Vanguard then you could just exchange all of one for another. Switching in a 401k or IRA held elsewhere will depend on the interface.

    If it's a taxable account then there could be a tax liability on any gains because switching is selling one and buying another.

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      • RC
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      • rackey
      • 6 days ago
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      nolesrule Thanks for the insight! 

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