Smit-cat, you want a written step-by-step detailed plan so it's easier to examine?
Here it is:
50/50 desired AA
Before retirement:After retirement:
- Stock side goes up, if AA goes to 52/48, rebalance back to 50/50.
- Stock side goes down, no rebalancing - Add new money 100% to stocks.
Late in retirement (75+)
- Collect dividends and interest from stocks and bonds/cash in taxable account
- Pull the rest I need every quarter from whichever side (stocks or bonds/cash) is higher, slowly rebalancing via withdrawals, in both directions, back to 50/50
- Stock side has more, pull from stocks, if AA gets to 55/45, rebalance back to 50/50
- Stock side has less, pull from bonds, no rebalancing other than withdrawals and waiting for stocks to recover.
- No real plan yet - someone mentioned investing to maximize gains for your kids at that point instead of risk-managing for your own spending
- Wait and see - vague idea how much I'd have to have - depends on health, expenses at that point, how well the portfolio has done.
Statistics: Posted by Runyer — Tue Sep 24, 2024 5:55 pm — Replies 143 — Views 9935