I must say all these answers are much more helpful than I was imagining and will help me in looking at the big picture and how to frame it, things that you don't really see discussed in this way in much of the writing on retirement investing/spending. It actually makes it much easier to understand and something that seemed really complicated to me I now realize is really is pretty simple. I also gleaned a couple other pointers on investing.
This forum is great. Thank you.
Search found 17 matches
- Sat Mar 05, 2022 6:07 pm
- Forum: Personal Investments
- Topic: Simple question about calculating my asset allocation in retirement
- Replies: 17
- Views: 2160
- Sat Mar 05, 2022 12:06 am
- Forum: Personal Investments
- Topic: Simple question about calculating my asset allocation in retirement
- Replies: 17
- Views: 2160
Re: Simple question about calculating my asset allocation in retirement
Thanks for the answers. Glad I asked....
- Fri Mar 04, 2022 6:49 pm
- Forum: Personal Investments
- Topic: Simple question about calculating my asset allocation in retirement
- Replies: 17
- Views: 2160
- Fri Mar 04, 2022 5:43 pm
- Forum: Personal Investments
- Topic: Simple question about calculating my asset allocation in retirement
- Replies: 17
- Views: 2160
Simple question about calculating my asset allocation in retirement
I'm a recently retired 68 year old and investment novice. I've chosen my preferred asset allocation but I realize that I'm lacking a key bit of information to begin implementing it. Since I'm retired I assume that all the money I have is the portfolio total? Is there any money that should be excluded from the total before calculating each allocation? Specifically, should the cash I have set aside for a home down payment be included? The cash I've set aside for 2 years living expenses and emergency fund? As I'm starting to do the calculations for each asset allocation I've realized that the amount I use for the total makes a huge difference.
Thanks for your help.
Thanks for your help.
- Mon Aug 24, 2020 9:43 am
- Forum: Personal Investments
- Topic: Moving my $1 million IRA from MMK to mutual funds in retirement
- Replies: 13
- Views: 1543
Re: Moving my $1 million IRA from MMK to mutual funds in retirement
Jomoney - It's 93% in cash (MMK), so there's no rebalancing. Thanks everyone who responded, I appreciate all the perspectives.
- Fri Aug 21, 2020 11:53 pm
- Forum: Personal Investments
- Topic: Moving my $1 million IRA from MMK to mutual funds in retirement
- Replies: 13
- Views: 1543
Re: Moving my $1 million IRA from MMK to mutual funds in retirement
Is dollar cost averaging no longer recommended?
- Fri Aug 21, 2020 11:16 pm
- Forum: Personal Investments
- Topic: Moving my $1 million IRA from MMK to mutual funds in retirement
- Replies: 13
- Views: 1543
Re: Moving my $1 million IRA from MMK to mutual funds in retirement
Thanks dbr. I know how to do it technically, what I'm worried about is putting that much money in at once and having the market crash soon after.
- Fri Aug 21, 2020 5:46 pm
- Forum: Personal Investments
- Topic: Moving my $1 million IRA from MMK to mutual funds in retirement
- Replies: 13
- Views: 1543
Moving my $1 million IRA from MMK to mutual funds in retirement
I'm a few years into retirement and all my IRA is in cash (except about $80,000 of it which I moved into Vanguard stock funds a few months ago). I'm planning to use a bucket approach with 50/50 stocks/bonds. I have a separate emergency fund with 3 years of living expenses in cash. I will start collecting SS in 3 years when I'm 70.
My question is how and over what time frame should I move it? Awkward timing.
Lump sum now?
DCA over what time period?
Don't do it?
I'll most likely live another 20 to 30 years so I feel I need to take some risk to increase the chances my money lasts as long as I do!
My question is how and over what time frame should I move it? Awkward timing.
Lump sum now?
DCA over what time period?
Don't do it?
I'll most likely live another 20 to 30 years so I feel I need to take some risk to increase the chances my money lasts as long as I do!
- Tue Mar 03, 2020 4:31 pm
- Forum: US Chapters
- Topic: Seattle Area Chapter Meetings - Master Thread
- Replies: 260
- Views: 115193
Re: Seattle Area Chapter Meetings - Master Thread
Thank you. I saw that but thought it was last month's topic since it says "February's Topic".
- Tue Mar 03, 2020 10:18 am
- Forum: US Chapters
- Topic: Seattle Area Chapter Meetings - Master Thread
- Replies: 260
- Views: 115193
Re: Seattle Area Chapter Meetings - Master Thread
I'm a Seattle newbie to this blog. Can anyone tell me what the topic is for this Friday's meeting in Bellevue (Mar 6, 2020)?
- Mon Mar 02, 2020 6:37 pm
- Forum: Personal Investments
- Topic: Retired, age 66, 100% in cash, what to do now
- Replies: 36
- Views: 4848
Re: Retired, age 66, 100% in cash, what to do now
I just have to say one more time that it's surprising to me that some people are suggesting that I keep my money in cash for the next 20 to 30 years. I can't even keep up with inflation that way.
- Mon Mar 02, 2020 6:34 pm
- Forum: Personal Investments
- Topic: Retired, age 66, 100% in cash, what to do now
- Replies: 36
- Views: 4848
Re: Retired, age 66, 100% in cash, what to do now
Okay. I am new to this investing advice forums and can see that I did not post in a way to allow people to have a good understanding of my situation.
Watty, thank you for the suggestion and link on what information to include. I was mostly interested in general comments on how to get into the market during retirement, which is a topic that's hard to find information on. I have already calculated my expenses, and using the 4% rule with my savings I have determined that in order for my money to last I need to either get a job or invest a significant portion of my portfolio in something likely to pay more than 1.5% in the long term.
I will regroup and post again with the information suggested by Watty.
Watty, thank you for the suggestion and link on what information to include. I was mostly interested in general comments on how to get into the market during retirement, which is a topic that's hard to find information on. I have already calculated my expenses, and using the 4% rule with my savings I have determined that in order for my money to last I need to either get a job or invest a significant portion of my portfolio in something likely to pay more than 1.5% in the long term.
I will regroup and post again with the information suggested by Watty.
- Mon Mar 02, 2020 5:01 pm
- Forum: Personal Investments
- Topic: Retired, age 66, 100% in cash, what to do now
- Replies: 36
- Views: 4848
Re: Retired, age 66, 100% in cash, what to do now
MoneyMarathon: I was in a 35 year marriage in which my spouse's job was to invest our savings. When the market crashed in 2008 he quietly moved our money into cash, where it stayed. I deeply regret not paying attention, however there is nothing I can do about that now but move forward.
- Mon Mar 02, 2020 4:55 pm
- Forum: Personal Investments
- Topic: Retired, age 66, 100% in cash, what to do now
- Replies: 36
- Views: 4848
Re: Retired, age 66, 100% in cash, what to do now
I guess I'm not being clear enough. The reason I have been in cash is NOT because my risk tolerance is low. I did not have control over this money until now. My risk tolerance is somewhere between moderate and high moderate. I am willing to accept some risk in order to increase my chance of having enough money to last my retirement, which statistically should last 20 to 30 years.
My social security plan is to start collecting at age 70, at which time it will be over $3000/month.
My social security plan is to start collecting at age 70, at which time it will be over $3000/month.
- Mon Mar 02, 2020 4:49 pm
- Forum: Personal Investments
- Topic: Retired, age 66, 100% in cash, what to do now
- Replies: 36
- Views: 4848
Re: Retired, age 66, 100% in cash, what to do now
Stormshadow - are you suggesting I stay at 100% cash for the rest of my life and get a job? I'm only planning to buy stock and bond funds with money that I won't need for at least 4 years. And in 3 years I start collecting social security. I'm 66 and healthy and will probably live 20-30 more years.
- Mon Mar 02, 2020 4:22 pm
- Forum: Personal Investments
- Topic: Retired, age 66, 100% in cash, what to do now
- Replies: 36
- Views: 4848
Re: Retired, age 66, 100% in cash, what to do now
Appreciate the replies. I did not choose this approach and received it "as is" in a divorce settlement. Now I'm trying to deal with it as best I can. For those who asked, 28% is in a taxable account, 72% in an IRA. I think I will take 2-3 years of living expenses from the taxable account and create a bond or CD ladder. The remaining money in the taxable account I will commit to longer term investments. Same for the IRA. What is a DCA plan? I'm trying to educate myself and prefer to execute the plan myself. I would appreciate any suggestions regarding bond vs cd ladder for the 2-3 years of living expenses. And if a bond ladder, what kind of bonds? Also, regarding the remaining money in the taxable account, should I put it in equiti...
- Sat Feb 29, 2020 10:21 am
- Forum: Personal Investments
- Topic: Retired, age 66, 100% in cash, what to do now
- Replies: 36
- Views: 4848
Retired, age 66, 100% in cash, what to do now
Due to factors beyond my control I have found myself in the unpleasant situation of having an IRA and taxable account that are 100% in cash. I have been out of the stock market for 10 years :( . At my current net worth I won't have enough money to last my retirement. I want to get back into investing, with something like a 50/50 allocation (keeping 2-3 years living expenses in liquid investments) but have hesitated to buy in during the last year. This last week as prices were declining I decided to start slowly getting back into the market and purchased about 5% of my portfolio in Vanguard equity ETF's. Any thoughts? Does this sound like a reasonable plan? I've had difficulty finding advice on this because all the advice out there pertains ...