Search found 10 matches

by gaspr
Mon Mar 12, 2018 12:01 pm
Forum: Personal Finance (Not Investing)
Topic: "An Ideal Retirement Spending Strategy?" (from Oblivious Investor)
Replies: 31
Views: 5856

Re: "An Ideal Retirement Spending Strategy?" (from Oblivious Investor)

It seems to me like the study endorses The Variable Percentage Withdrawal (VPW) method found right here in the Wiki...
by gaspr
Tue Feb 20, 2018 1:04 pm
Forum: Investing - Theory, News & General
Topic: Retirees: The common sense withdrawal method
Replies: 168
Views: 20046

Re: Retirees: The common sense withdrawal method

After looking at all the spendown strategies that I could find over several years leading up to retirement, I have chosen VPW. In my mind it is dead simple, and is chock full of common sense. It is "rules based" and therefore less likely to be tampered with by the one person who is most likely to be...
by gaspr
Fri Apr 28, 2017 9:17 am
Forum: Investing - Theory, News & General
Topic: Thinking in real vs. nominal
Replies: 46
Views: 4674

Re: Thinking in real vs. nominal

I prefer to simply use "today's dollars" for all financial planning. This means reducing expected returns on investments for inflation while realizing that both values are really just guesses. No need to adjust things that are indexed, like tax rates and Social Security as they will stay the same in...
by gaspr
Wed Apr 05, 2017 9:58 am
Forum: Investing - Theory, News & General
Topic: Delaying SS = Early SS+annuity or not?
Replies: 32
Views: 2309

Re: Delaying SS = Early SS+annuity or not?

If Rich dies suddenly at 71, he loses out big time on "overall benefits" by waiting until 70, but he dies happily with a happy retirement and peace of mind. I agree with you in general, but it's not as simple as you make it out to be. The issue that you are missing is Rich will also be spending dow...
by gaspr
Mon Mar 20, 2017 8:19 pm
Forum: Investing - Theory, News & General
Topic: Sitting on cash....Waiting for a crash
Replies: 175
Views: 32656

Re: Sitting on cash....Waiting for a crash

This blog post by Ben Carlson might be helpful. It is the story of a fictitious character named "Bob, The World's Worst Market Timer" [urlhttp://awealthofcommonsense.com/2014/02/worlds-worst-market-timer/][/url] And then there is this post about Buying only at market bottoms... [urlhttp://awealthofc...
by gaspr
Fri Jan 15, 2016 10:45 am
Forum: Investing - Theory, News & General
Topic: Systematically buy from Emergency Fund on Dips?
Replies: 44
Views: 3938

Re: Systematically buy from Emergency Fund on Dips?

Soccerdad. Your asset allocation should be based on your willingness, your ability, and your need to take risk. You seem to have no shortage of the first two, but perhaps you should rethink whether or not you have the "need" to add risk at this stage of your life. Best wishes and good luck.
by gaspr
Fri Oct 16, 2015 10:37 am
Forum: Personal Finance (Not Investing)
Topic: Deferred Income Annuity
Replies: 12
Views: 2097

Re: Deferred Income Annuity

Under what types of circumstances (if any), might a deferred-income annuity be a good strategy/financial plan? If your "circumstances" includes living well past your life expectancy, and if you have no strong bequest motives, using a DIA or a SPIA will most certainly be an excellent strategy. The l...
by gaspr
Mon Oct 05, 2015 9:22 am
Forum: Personal Finance (Not Investing)
Topic: Indexed Deferred Income Annuities
Replies: 7
Views: 780

Re: Indexed Deferred Income Annuities

These products are likely to be of interest only to those who are in good health, have limited retirement funds, and who have no bequest motives. They are not for everyone... But for those of us who fit the criteria, I don't understand why they can provide inflation indexing for SPIA's, but for DIA'...
by gaspr
Sun Oct 04, 2015 7:15 pm
Forum: Personal Finance (Not Investing)
Topic: Indexed Deferred Income Annuities
Replies: 7
Views: 780

Re: Indexed Deferred Income Annuities

@ fabdog Yes that is exactly the product I was talking about. Often referred to as longevity insurance by retirement researchers like Wade Pfau and Michael Kitces. I agree that they are not well known or highly promoted products and as such, are rarely if ever mentioned by many insurance brokers. Da...
by gaspr
Sun Oct 04, 2015 1:42 pm
Forum: Personal Finance (Not Investing)
Topic: Indexed Deferred Income Annuities
Replies: 7
Views: 780

Indexed Deferred Income Annuities

Hi Folks I recently read this on Darrow Kirkpatrick's excellent blog called "Can I Retire yet". And I quote "When you by a deferred income annuity with inflation protection, when exactly does that inflation protection start? Turns out that such annuities don't adjust for inflation until their income...