You might need to reexamine a retirement savings option that was smart in the early stages of your career.

As you get closer to retirement, target-date funds allow you to automate your savings by shifting away from more risky assets such as stocks, and towards safer investments like bonds and cash.

Although these funds can be used to help you save for your retirement, they may not make financial sense for you. It’s worth considering whether your target fund should be restructured as you get closer to retirement.

According to Certified Financial Planner Chris Mellone of VLP Financial Advisors Vienna, Virginia, “When you are about 10 years from retirement, or in your mid-50s,” you need to take a holistic look and examine your entire financial picture.

“We feel that this segment requires a customized approach to asset allocation. [of investors]”

Morningstar estimates that approximately $1.8 trillion was invested in target date mutual fund investments. Most 401(k) plans — 98% — include this kind of fund in their lineup, according to Vanguard. These funds are held by 80% of 401(k), participants.

Target-date funds can be a great option for novice investors, or young people who have never invested before. Advisors explain that the asset allocation is designed to reflect a long time period until retirement and includes stocks up to 95%. There’s also automatic de-risking and rebalancing.

However, this usefulness could change.

CFP Charles Sachs is chief investment officer at Kaufman Rossin Wealth, Miami.

Sachs explained that the target fund then works in isolation. That’s why you need coordination.

Let’s say, for instance, you get to a place where 70% of your target date funds are in stocks while 30% is in bonds. You might also have money in a fund that is only invested in stock or an index. Your stock-bond ratio may be higher than 90%-10% depending on how much you have. This could make it less suitable for you risk tolerance. It is a function of how you are able to stomach volatility in the market and how long you will need the money.

Megan Pacholok of Morningstar said that when they add investments to their portfolios, they could be taking on more risk than they realize. “Their allocation has changed from what they believed it to be.”

These funds usually reach their target year with the money in stock investments and keep doing so. However, some might reduce their equity holdings. Morningstar Direct estimates that 2020 targets fund averages 46% in bonds, 42% stocks, and the remaining 42% in cash. 40-79% is the typical stock-bond blend for target date funds in 2025.

Many advisors agree that it is fine to continue to use target date funds during retirement. However, there are other reasons why you might want to reconsider.

For example, if you need to pull money from one during a market pullback, it could mean selling stocks when they’re down — whether you want to or not.

Mellone explained that taking distributions out of a target-date fund will result in taking all your money from stocks and bonds. We’d prefer to break these pieces down and find the best way of funding distributions.

For instance, if you know you’ll need to generate $100,000 from your retirement savings each year, you can plan to have a certain number of years’ worth of income — say five years, so $500,000 — in cash and bonds, so you aren’t put in the position of selling stocks or other volatile investments in a down market. At the outset of retirement, that can be especially detrimentalYour nest egg’s long-term financial value.

Bottom line: Be sure to review your goal date fund’s value as you get older and your financial situation becomes more complicated.

Sachs explained that it could work for or against you. However, you must track it in order to find out. You can’t forget it forever, so don’t fixate on it.