FTNJ
Franklin New Jersey Municipal Income ETF
stockNYSEETF

Hello All, I am a novice to the investing scene. For the past few weeks, I have been doing some research on investing/portfolio composition, attempting to learn about different options like Index funds, ETFs, Bonds etc. My goals are : * Secure my retirement(have a steady income flow during my retirement) * Set aside a small portion towards college education for my child * Generate a current passive income stream(this is a nice to have) * Keep my tax exposure from my investments to the minimum My current situation: * Aged 48, married, one child, single income household. * I am enrolled in a 401K and a 403B accounts with Fidelity through my employer. I contribute to the 403 by way of deductions from every paycheck. Allocations are 50% 500 Index fund FXAIX, 25% Fidelity Total International Index Fund FTIHX and 25% FXNAX Fidelity U.S. Bond Index Fund. The 401 is funded by the employer and it is my understanding that I am not allowed to make further contributions(I need to figure this out, the site does not show an option to tweak 401 employee contributions, but I do see an option for 403). * I already have a 6 Month living expenses emergency fund (HYSA). * I have a Betterment account(opened 3 years ago) with a general portfolio and a Blackrock bond portfolio with small monthly contributions. * I have no high interest debt, Mortgage is the biggest slice of my debt. * I have almost maxed out my contribution to the employer retirement account. * I most likely will retire in NJ. The next steps I am considering are: 1. Invest funds that are sitting in a savings account in the market by way of ETFs etc. 2. Invest a portion of the funds from the savings account in a 529(NJ, my home state. My understanding is, I will not be eligible for tax deductions as there are income threshold eligibility requirements) 3. Set up small monthly investments into investment accounts(retirement or brokerage) I manage myself. I kind of know that investments in retirement accounts come with restrictions, need to educate myself more in that area. 4. Set up another small emergency fund for other non living emergency expenses(like if the water heater were to break down and needed to be replaced) I am considering investing in a taxable brokerage account and a Roth IRA I am considering a mix of the below investment options : 1. S & P 500 Index funds 2. Whole U.S market / International(developed + emerging markets) funds 3. Dividend funds 4. Growth funds 5. Treasury Bonds/ Bond Funds 6. REITs My questions are : 1. Do my next steps make sense ? Anything to omit from current steps(like #4) ? Any other steps to consider ? 2. Any tweaks required to the 401 / 403 allocation strategy ? 3. Should I max out contributions to the employer retirement account(appears that this is widely advocated from my research). The truth is, the employer provided Fidelity accounts provide limited choices of funds. That is one reason I am not maxing out there. My thought is, redirect that amount to another retirement account like Roth IRA / taxable account where I can have more leeway in terms of the funds I invest in. Is this approach appropriate ? 4. With regards to my Step #1 in next steps, what is the optimal mix from the investment options I have listed ? Also, what type of fund in which account(taxable vs retirement). My definition of "optimal" would be low cost funds with reasonable expectations of appreciation/growth with nice to haves like dividend income + tax saving opportunities. One thing I noticed during my research is, dividend funds and REITs are better off in a retirement account for maximum tax savings opportunities. I am trying to come up with some strategies like : choose investment options 2,3,4,6 in this account, choose a whole market fund vs individual US/international funds, choose a Bond ETF vs buying bonds directly. 5. Should I consider bonds like Vanguard NJ Muni Bonds VNJUX, Franklin New Jersey Municipal Income ETF, FTNJ for NJ state tax benefits ? 6. What kind of funds should I consider for my small monthly investments in the taxable brokerage account? 7. Should I be considering any other investment options like CDs etc. ? If i go ahead with step 4 of my next steps, what would be the right option ? Another HYSA ? 8. Should I continue with Betterment ? I guess my options are a) close the account , and invest again in a suitable self managed account, handle whatever tax liabilities it results in, if any OR b) ACATS process and handle residual amounts from partial shares(I definitely need to educate myself more) 9. Not a question directly related to a portfolio but inputs appreciated. Should I consider paying off some amount towards the mortgage principal (It is a **30 yr loan with 2.5% interest**). If yes, should this be a yearly once thing ? All inputs appreciated. Suggestions of actual ticker symbols also appreciated. I totally understand that investment choices are very specific to situations and what works for one might not work for others. I also understand that I need to do my own due diligence before making any investment decisions. Thank you

Hello All, I am a novice to the investing scene. For the past few weeks, I have been doing some research on investing/portfolio composition, attempting to learn about different options like Index funds, ETFs, Bonds etc. My goals are : * Secure my retirement(have a steady income flow during my retirement) * Set aside a small portion towards college education for my child * Generate a current passive income stream(this is a nice to have) * Keep my tax exposure from my investments to the minimum My current situation: * Aged 48, married, one child, single income household. * I am enrolled in a 401K and a 403B accounts with Fidelity through my employer. I contribute to the 403 by way of deductions from every paycheck. Allocations are 50% 500 Index fund FXAIX, 25% Fidelity Total International Index Fund FTIHX and 25% FXNAX Fidelity U.S. Bond Index Fund. The 401 is funded by the employer and it is my understanding that I am not allowed to make further contributions(I need to figure this out, the site does not show an option to tweak 401 employee contributions, but I do see an option for 403). * I already have a 6 Month living expenses emergency fund (HYSA). * I have a Betterment account(opened 3 years ago) with a general portfolio and a Blackrock bond portfolio with small monthly contributions. * I have no high interest debt, Mortgage is the biggest slice of my debt. * I have almost maxed out my contribution to the employer retirement account. * I most likely will retire in NJ. The next steps I am considering are: 1. Invest funds that are sitting in a savings account in the market by way of ETFs etc. 2. Invest a portion of the funds from the savings account in a 529(NJ, my home state. My understanding is, I will not be eligible for tax deductions as there are income threshold eligibility requirements) 3. Set up small monthly investments into investment accounts(retirement or brokerage) I manage myself. I kind of know that investments in retirement accounts come with restrictions, need to educate myself more in that area. 4. Set up another small emergency fund for other non living emergency expenses(like if the water heater were to break down and needed to be replaced) I am considering investing in a taxable brokerage account and a Roth IRA I am considering a mix of the below investment options : 1. S & P 500 Index funds 2. Whole U.S market / International(developed + emerging markets) funds 3. Dividend funds 4. Growth funds 5. Treasury Bonds/ Bond Funds 6. REITs My questions are : 1. Do my next steps make sense ? Anything to omit from current steps(like #4) ? Any other steps to consider ? 2. Any tweaks required to the 401 / 403 allocation strategy ? 3. Should I max out contributions to the employer retirement account(appears that this is widely advocated from my research). The truth is, the employer provided Fidelity accounts provide limited choices of funds. That is one reason I am not maxing out there. My thought is, redirect that amount to another retirement account like Roth IRA / taxable account where I can have more leeway in terms of the funds I invest in. Is this approach appropriate ? 4. With regards to my Step #1 in next steps, what is the optimal mix from the investment options I have listed ? Also, what type of fund in which account(taxable vs retirement). My definition of "optimal" would be low cost funds with reasonable expectations of appreciation/growth with nice to haves like dividend income + tax saving opportunities. One thing I noticed during my research is, dividend funds and REITs are better off in a retirement account for maximum tax savings opportunities. I am trying to come up with some strategies like : choose investment options 2,3,4,6 in this account, choose a whole market fund vs individual US/international funds, choose a Bond ETF vs buying bonds directly. 5. Should I consider bonds like Vanguard NJ Muni Bonds VNJUX, Franklin New Jersey Municipal Income ETF, FTNJ for NJ state tax benefits ? 6. What kind of funds should I consider for my small monthly investments in the taxable brokerage account? 7. Should I be considering any other investment options like CDs etc. ? If i go ahead with step 4 of my next steps, what would be the right option ? Another HYSA ? 8. Should I continue with Betterment ? I guess my options are a) close the account , and invest again in a suitable self managed account, handle whatever tax liabilities it results in, if any OR b) ACATS process and handle residual amounts from partial shares(I definitely need to educate myself more) 9. Not a question directly related to a portfolio but inputs appreciated. Should I consider paying off some amount towards the mortgage principal (It is a **30 yr loan with 2.5% interest**). If yes, should this be a yearly once thing ? All inputs appreciated. Suggestions of actual ticker symbols also appreciated. I totally understand that investment choices are very specific to situations and what works for one might not work for others. I also understand that I need to do my own due diligence before making any investment decisions. Thank you