Originally Posted by Free To Canoe
Do you have set rules for replenishment of the stash once depleted?
Free to canoe
You mean, as in "go get more"?
If the market has a down year then we don't replenish our cash stash.
If the market's down a second year then we don't replenish our cash stash. During the third year we pick the least-worst-performing equity and sell enough of that to cover our expenses.
When the market recovers beyond that year's expenses then we start replenishing the cash stash. We're just about there.
I'll add one more aspect to ClifP's excellent explanation of recession spending: consumer-durable bargains. We contracted extensive home-improvement work during the recession for a significant discount, when a couple years before we couldn't even get our phone calls returned. We used our dry powder on our home equity.