hi, I finally have $3000 to open a Roth IRA at Vanguard. I want to do a Total Stock Market account (TSM) which I've heard is really good for novice investors like myself who would like a portfolio i don't need to check all the time. BUT, I've also heard that the S&P500 is great too. Can I do both within the Roth with Vanguard or is that a separate MUTUAL fund that has not to do with Roth.

IS the S&P a TSM or are they separate? I did some research on the internet but then my eyes started hurting so i figured I'd just ask my "beginner" question here. I really do appreciate your help as I'm eager to get started. I will call Vanguard I just want to be more informed first. THanks again.

You can hold both within your Roth but you will need to meet the fund minimums. You can also hold either fund outside of a Roth in a regular mutual fund account.

Keep in mind that they are very similar funds. Stocks that are in the S&P are also in the TSM – S&P makes up part of the total stock market.

Vanguard has a good fund comparison tool on their website for you to compare the 2 funds.

www.vanguard.com