stephenson
Thinks s/he gets paid by the post
- Joined
- Jul 3, 2009
- Messages
- 1,610
Hi All,
Trying to focus a bit more on our particular circumstances.
My FRA at 66 yo is March 2020; my wife (has not met the 40 periods) so her FRA is at 66 yo in May 2020. Both in great health, no known big issues. Both sides of families have good longevity, except for the smokers who killed themselves very early.
My understanding is that if I file and start at FRA, my monthly amount will be $2967.00, and her's will be 1/2 of mine at her FRA. Total: $2967 + $1484 = $4451/mo
That is the easy part - without the SS income, our 2019 income will likely be around $250K 24% 2019 bracket), then adding $54,612, puts us at about $304,612.00 (just under the 32% bracket). Note - a really good year with stock market could add another 50K in LTCG, or if we sell a rental house, we would be over the $315K/32% bracket.
I don't foresee our income dropping over the next 10 years or so ...and, in theory, the taxable accounts will, in good market times, spin off increasing amounts of LTCG from the mutual funds, pushing us into the 32% bracket - almost an inevitability.
If we go this strategy, my starting point would be to adopt an asset allocation goal of about 60% equity (80% US and 20% foreign) and 40% bond (80% US and 20% foreign) into Fidelity low/zero cost funds (TBD). Easy and fun to quibble about which exact funds, but you get the core of the strategy.
Would appreciate your thoughts!
Trying to focus a bit more on our particular circumstances.
My FRA at 66 yo is March 2020; my wife (has not met the 40 periods) so her FRA is at 66 yo in May 2020. Both in great health, no known big issues. Both sides of families have good longevity, except for the smokers who killed themselves very early.
My understanding is that if I file and start at FRA, my monthly amount will be $2967.00, and her's will be 1/2 of mine at her FRA. Total: $2967 + $1484 = $4451/mo
That is the easy part - without the SS income, our 2019 income will likely be around $250K 24% 2019 bracket), then adding $54,612, puts us at about $304,612.00 (just under the 32% bracket). Note - a really good year with stock market could add another 50K in LTCG, or if we sell a rental house, we would be over the $315K/32% bracket.
I don't foresee our income dropping over the next 10 years or so ...and, in theory, the taxable accounts will, in good market times, spin off increasing amounts of LTCG from the mutual funds, pushing us into the 32% bracket - almost an inevitability.
If we go this strategy, my starting point would be to adopt an asset allocation goal of about 60% equity (80% US and 20% foreign) and 40% bond (80% US and 20% foreign) into Fidelity low/zero cost funds (TBD). Easy and fun to quibble about which exact funds, but you get the core of the strategy.
Would appreciate your thoughts!