jacandginny
Confused about dryer sheets
Holding off on drawing SS. Need to live off our savings. Others in this situation, do you sell assets on a monthly, quarterly, yearly basis? Advice please.
Thanks
Thanks
Holding off on drawing SS. Need to live off our savings. Others in this situation, do you sell assets on a monthly, quarterly, yearly basis? Advice please.
Thanks
Have you already figured planned distributions such as interest payments and dividend payments into your income needs?
Are there any scheduled redemptions during the time period such as bond or CD maturity dates?
After considering the above, I liquidate opportunistically, without a fixed timetable or percentage target.
I think it depends on what type of asset you have to sell. If you are talking about shares of a short-term bond fund, you wouldn't expect the value to fluctuate significantly over time, so month-to-month sales might be fine. If the assets you are selling are equities which could see significant swings in value over time, having to sell when they are in a decline isn't such a great idea.Been just selling assets once a month. Just wondering if that was the smartest approach.
Holding off on drawing SS. Need to live off our savings. Others in this situation, do you sell assets on a monthly, quarterly, yearly basis? Advice please.
Thanks
+1I think it depends on what type of asset you have to sell. If you are talking about shares of a short-term bond fund, you wouldn't expect the value to fluctuate significantly over time, so month-to-month sales might be fine. If the assets you are selling are equities which could see significant swings in value over time, having to sell when they are in a decline isn't such a great idea.
Have you considered setting up a "bucket" of cash you can withdraw from monthly, replenishing it 'opportunistically' as youbet describes? That's what I set up and I use dividends from bond and dividend paying stock funds to help fund the bucket. This assists in allowing me to choose when to sell assets to top up the bucket rather than being forced to sell at a low point.
Not drawing yet, but I believe there is a "fee" associated with my 401k withdrawals, so I'll likely do larger withdrawals less often, to minimize cost.
+2. It's painful having any cash these days with negative real returns, but necessary IMO. I am only holding a few years in cash...Have you considered setting up a "bucket" of cash you can withdraw from monthly, replenishing it 'opportunistically' as youbet describes? That's what I set up and I use dividends from bond and dividend paying stock funds to help fund the bucket. This assists in allowing me to choose when to sell assets to top up the bucket rather than being forced to sell at a low point.
+3 ...+2. It's painful having any cash these days with negative real returns, but necessary IMO. I am only holding a few years in cash...
Annually move one year's expenses from investment portfolio into short-term bond fund (VBISX). Fund the year with short-term bond fund.
Date of annual move is fixed, to discourage attempts at market timing. Yes, even I am tempted sometimes.
Having the year's expenses in a stable bond fund prevents me from "feeling" the ups and downs of the stock market too much. I sleep better.
Do you write checks from the bond fund or move it periodically to a banking account?