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Are you retired BigFoot?* If so, I wonder if the standard emergency fund is necessary?* We look at the need for planned expenses in a long range cash flow and then try to structure our overall portfolio allocation to inlcude some access to "ready reserves" if necessary; either for unplanned needs or market down turn.
i.e., 25% of our portfolio is allocated to "Cash & Reserves".* We are spending out of our money markets which are part of this allocation and are replenished periodically as part of our rebalancing process.* The other investments here are* 1) I Bonds in taxable and 2) 5 year CD ladder in IRA.* Both are tax deferred until you need them, easy to access and principle guaranteed.* *
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