Quantum Sufficit
Recycles dryer sheets
- Joined
- Jan 24, 2011
- Messages
- 128
Hi,
We retired in march of this year. Our luck would have the market falter but fortunately, despite building a new house and outfitting it, I was able to live on only a 9k draw from short term bonds because of other income. I would think it advantageous to reinvest dividends in a taxable acct as they are qualified dividends (vanguard total stock) and should incur a 0% tax rate. I would gladly take them as cash and spend if the market was up from our cost basis but alas, it is not. Therefore, why not reinvest the dividends and draw down more from short term bonds? (ie, spend from what has done the best this year?)
Thanks.
We retired in march of this year. Our luck would have the market falter but fortunately, despite building a new house and outfitting it, I was able to live on only a 9k draw from short term bonds because of other income. I would think it advantageous to reinvest dividends in a taxable acct as they are qualified dividends (vanguard total stock) and should incur a 0% tax rate. I would gladly take them as cash and spend if the market was up from our cost basis but alas, it is not. Therefore, why not reinvest the dividends and draw down more from short term bonds? (ie, spend from what has done the best this year?)
Thanks.