Search found 2500 matches

by EnjoyIt
Fri Sep 20, 2019 10:28 pm
Forum: Personal Investments
Topic: Total International (VTIAX) in Taxable Acct or 401k for High Tax Bracket?
Replies: 20
Views: 1251

Re: Total International (VTIAX) in Taxable Acct or 401k for High Tax Bracket?

The capital-gains tax on withdrawal slightly favors foreign stock over US stock in taxable accounts, if the annual tax cost is the same. The reason is that the foreign stock fund has a higher dividend yield (taxed at a lower rate including the foreign tax credit), and thus slightly more of your inv...
by EnjoyIt
Fri Sep 20, 2019 10:01 pm
Forum: Personal Investments
Topic: Total International (VTIAX) in Taxable Acct or 401k for High Tax Bracket?
Replies: 20
Views: 1251

Re: Total International (VTIAX) in Taxable Acct or 401k for High Tax Bracket?

There is more to this than just dividends. When you are in the withdrawal phase, a withdrawal from VTIAX in taxable will be a combination of return of principle and long-term capital gain, which is quite tax-efficient. A withdrawal from a 401K or tIRA is 100% regular income, as you no doubt know al...
by EnjoyIt
Fri Sep 20, 2019 4:39 pm
Forum: Personal Finance (Not Investing)
Topic: How do you spend money to gain time? (young family)
Replies: 140
Views: 8588

Re: How do you spend money to gain time? (young family)

I like Livesoft's ideas. Before I moved into my boyfriend's place last month I slept on a mattress on the floor. I have a high-paying job but I didn't really see the point of paying for a bed-frame/box springs/whatever just to sleep a couple of feet off the floor. I mean, I lived in a nice apartmen...
by EnjoyIt
Fri Sep 20, 2019 9:07 am
Forum: Personal Finance (Not Investing)
Topic: Best way to track / categorize spending?
Replies: 18
Views: 757

Re: Best way to track / categorize spending?

I'm looking for a simple way to track spending (mostly 1 credit card and 1 checking account). I don't want to spend a lot of time with it, but would like to group spending into necessities, discretionary 1 and discretionary 2. Is Mint.com the best thing for this? I'd rather not give them my credit ...
by EnjoyIt
Thu Sep 19, 2019 7:34 pm
Forum: Personal Finance (Not Investing)
Topic: Paying off mortgage early - am I thinking about this right?
Replies: 125
Views: 10502

Re: Paying off mortgage early - am I thinking about this right?

Goal is to pay down mortgage and have no mortgage at retirement. That provides a lot more financial flexibility and less demands on the portfolio. That is our goal as well. To have the mortgage paid off the same year we retire. At sub 3% I am in no rush. Agree. Our rate is not much different. By re...
by EnjoyIt
Thu Sep 19, 2019 2:03 pm
Forum: Personal Finance (Not Investing)
Topic: How do you spend money to gain time? (young family)
Replies: 140
Views: 8588

Re: How do you spend money to gain time? (young family)

What have you consciously decided to spend money on to gain time or family sanity, and not regretted? We spent money by having one of us stop working and become a stay at home parent. That was seven years ago and haven't regretted it for a second. Not only did it gain lots of family time and sanity...
by EnjoyIt
Thu Sep 19, 2019 12:25 pm
Forum: Personal Finance (Not Investing)
Topic: Paying off mortgage early - am I thinking about this right?
Replies: 125
Views: 10502

Re: Paying off mortgage early - am I thinking about this right?

abuss368 wrote:
Thu Sep 19, 2019 12:08 pm
Goal is to pay down mortgage and have no mortgage at retirement. That provides a lot more financial flexibility and less demands on the portfolio.
That is our goal as well. To have the mortgage paid off the same year we retire. At sub 3% I am in no rush.
by EnjoyIt
Thu Sep 19, 2019 9:33 am
Forum: Personal Finance (Not Investing)
Topic: Paying off mortgage early - am I thinking about this right?
Replies: 125
Views: 10502

Re: Paying off mortgage early - am I thinking about this right?

I think many are missing the point You can consider the house as a part of you global AA and don't have to rebalance in and out in the house. You can rebalance with the rest of your stocks/bonds I'm not saying is easy to model the value/yield of your house and the expenses that you save, but it's w...
by EnjoyIt
Thu Sep 19, 2019 9:26 am
Forum: Personal Investments
Topic: Total International (VTIAX) in Taxable Acct or 401k for High Tax Bracket?
Replies: 20
Views: 1251

Re: Total International (VTIAX) in Taxable Acct or 401k for High Tax Bracket?

In a higher tax bracket, it is probably better to have US stock in taxable and foreign stock in tax-deferred. Suppose that a US stock fund has a 2% yield, all qualified, and a foreign stock fund has a 3% yield, 2/3 qualified, and 8% of the dividend is withheld for foreign tax. (These are close to r...
by EnjoyIt
Thu Sep 19, 2019 9:13 am
Forum: Personal Finance (Not Investing)
Topic: How do you spend money to gain time? (young family)
Replies: 140
Views: 8588

Re: How do you spend money to gain time? (young family)

I doubt data like this exists. Most Americans spend what they make and don’t really understand the benefit/value of financial security. Your question is too broad in my opinion. No minimum wage worker can survive well on part time work without government subsidy. But, there are decent paying jobs o...
by EnjoyIt
Thu Sep 19, 2019 8:50 am
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

I remember reading newspaper reports that pension fund managers use inflated investment returns to keep contribution rates low. This will make everybody happy for now, but the bill will come later in a rude awakening. MathIsMyWayr, It is not a problem unless you are a taxpayer in those states. And,...
by EnjoyIt
Thu Sep 19, 2019 8:37 am
Forum: Personal Finance (Not Investing)
Topic: How do you spend money to gain time? (young family)
Replies: 140
Views: 8588

Re: How do you spend money to gain time? (young family)

This seams counterintuitive but I believe the best way to have more time with family is to spend as little as possible and work less. I'd love to work less, but who will pay for my mortgage, food, retirement savings, health insurance, etc.? Not many people would be able to support themselves on a p...
by EnjoyIt
Thu Sep 19, 2019 8:06 am
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

Do you know what is the assumed annual investment return rate they use to arrive at the funding ratios? Roughly speaking, they expect every $26 (employee and employer contributions) to grow to $100 (inflation-adjusted) for pension benefit. A quick google gives 7.5% which is inline what I have seen ...
by EnjoyIt
Thu Sep 19, 2019 5:50 am
Forum: Personal Finance (Not Investing)
Topic: How do you spend money to gain time? (young family)
Replies: 140
Views: 8588

Re: How do you spend money to gain time? (young family)

This seams counterintuitive but I believe the best way to have more time with family is to spend as little as possible and work less. I'd love to work less, but who will pay for my mortgage, food, retirement savings, health insurance, etc.? Not many people would be able to support themselves on a p...
by EnjoyIt
Wed Sep 18, 2019 3:48 pm
Forum: Personal Finance (Not Investing)
Topic: Kitces: The Problem with FIREing at 4% and the Need for Flexible Spending Rules
Replies: 230
Views: 15890

Re: Kitces: The Problem with FIREing at 4% and the Need for Flexible Spending Rules

And by the same token, "working longer" isn't a guaranteed path to success either. Working 1 more year can add 3+ years in safety if returns + contributions that year equal a years expenses: 1) You don't need to spend your assets during that year so you save a years's worth of spending. 2) You will...
by EnjoyIt
Wed Sep 18, 2019 11:45 am
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

It is very interesting how you are in such a tight budget regarding tax deferred savings and health insurance. It is almost as if you are stuck between $62k spending and much much higher with nothing in between. If you choose to not tax defer $5k next year, you would end up paying more in taxes and ...
by EnjoyIt
Wed Sep 18, 2019 11:38 am
Forum: Personal Finance (Not Investing)
Topic: Paying off mortgage early - am I thinking about this right?
Replies: 125
Views: 10502

Re: Paying off mortgage early - am I thinking about this right?

When a house may be half of my assets, I don't want to keep it simple. I want to keep it as accurate as I can. Same when deciding what percentage of bonds or stocks I could have in my portfolio. I paid off my house when I realized I was investing in bonds, anyway. But that's just me. :happy I'm dif...
by EnjoyIt
Wed Sep 18, 2019 11:23 am
Forum: Personal Finance (Not Investing)
Topic: Kitces: The Problem with FIREing at 4% and the Need for Flexible Spending Rules
Replies: 230
Views: 15890

Re: Kitces: The Problem with FIREing at 4% and the Need for Flexible Spending Rules

If you want to be as assured as you can that you will never have to reduce your spending at all, then you should probably consider an inflation-adjusted single premium annuity (although I believe that only one company still offers one that's linked to CPI). That comes with its own set of caveats, b...
by EnjoyIt
Wed Sep 18, 2019 10:29 am
Forum: Personal Finance (Not Investing)
Topic: How do you spend money to gain time? (young family)
Replies: 140
Views: 8588

Re: How do you spend money to gain time? (young family)

spend / out-source / sub-contract?... SIMPLIFY! (your life / family / career) while with toddlers. You get ONE-trip-around-the-block with your kids, then they are GONE! We spent 'opportunity costs' while kids were still at home (they left for college at age 16) We lived very cheap and traveled a lo...
by EnjoyIt
Wed Sep 18, 2019 9:13 am
Forum: Personal Finance (Not Investing)
Topic: How do you spend money to gain time? (young family)
Replies: 140
Views: 8588

Re: How do you spend money to gain time? (young family)

This seams counterintuitive but I believe the best way to have more time with family is to spend as little as possible and work less. Once one can decouple appearances and spending from happiness everything else falls into place. When you do choose to spend, make sure it is high yield spending becau...
by EnjoyIt
Wed Sep 18, 2019 9:09 am
Forum: Personal Investments
Topic: Total International (VTIAX) in Taxable Acct or 401k for High Tax Bracket?
Replies: 20
Views: 1251

Re: Total International (VTIAX) in Taxable Acct or 401k for High Tax Bracket?

VTIAX also generates foreign taxes which can be used as a tax credit. https://www.irs.gov/individuals/international-taxpayers/foreign-tax-credit My very limited understanding was that the credit outweighs the domestic taxes making VTIAX in taxable the preferred choice and what I was recommended in d...
by EnjoyIt
Wed Sep 18, 2019 8:10 am
Forum: Personal Finance (Not Investing)
Topic: Helping elderly parents manage finances - pros and cons
Replies: 61
Views: 4426

Re: Helping elderly parents manage finances - pros and cons

Thank you for this post. Your experience and the subsequent discussion have been enlightening. I am currently in a middle ground position with my folks where they ask for advice on certain subjects. I give it, and often times that advise is partially taken making the situation more complex than nece...
by EnjoyIt
Mon Sep 16, 2019 5:24 pm
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

... Sure but it all adds up. Imagine I move there today and I get private sector job paying 125k. Lets compare the two situations: ... Why Imagine? If the compensation for moving somewhere is not worth it to you, then don't move there. No imagination is necessary. That is the benefit of living in t...
by EnjoyIt
Mon Sep 16, 2019 11:05 am
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

It's a real stretch on your part to assume that the average Joe in California or elsewhere has access to Restricted Stock Units, Employee Stock Purchase Plans, annual bonuses, 401K matches and additional Social Security credits. What is your source for believing that this the case for the average m...
by EnjoyIt
Mon Sep 16, 2019 10:11 am
Forum: Personal Consumer Issues
Topic: Need ideas for NY Upstate Getaway
Replies: 48
Views: 2899

Re: Need ideas for NY Upstate Getaway

Since you live in NJ, have you considered Poconos, PA? It is a gorgeous area this time of year.
by EnjoyIt
Mon Sep 16, 2019 9:46 am
Forum: Personal Investments
Topic: Can I PRE-tire yet?
Replies: 10
Views: 2140

Re: Can I PRE-tire yet?

We did very similar but continue working our current jobs but at 3/4 time. I consider us semi-retired but will need some compounding over the next 2.5-5 years to get us where we want to be. It all depends on market returns for us now.
by EnjoyIt
Mon Sep 16, 2019 9:39 am
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

There is plenty to learn from this thread such as how important it is to understand one's options and the tax code. Understand what exactly? Other then IRA and 401K a great majority of people on this board and outside this board are unable to significantly reduce their tax burden. Lets say I work a...
by EnjoyIt
Mon Sep 16, 2019 9:33 am
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

It's a real stretch on your part to assume that the average Joe in California or elsewhere has access to Restricted Stock Units, Employee Stock Purchase Plans, annual bonuses, 401K matches and additional Social Security credits. What is your source for believing that this the case for the average m...
by EnjoyIt
Mon Sep 16, 2019 9:30 am
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

It is so sad and shameful of the disrespect some forum members are giving to OP, as if his family is doing something wrong or disingenuous. OP was shared in detail how they do things with the options allowed to them. There is plenty to learn from this thread such as how important it is to understand...
by EnjoyIt
Sun Sep 15, 2019 9:09 pm
Forum: Personal Finance (Not Investing)
Topic: Would you spend an extra day a week for 1 year working for a luxury
Replies: 27
Views: 2397

Re: Would you spend an extra day a week for 1 year working for a luxury

I pretty much did this for a few years. The luxury I bought is financial security. I now work part time. I asked this question because I considered going full time again for a year to get a fancy car, but I would have to give up the life I have now with my family and eventually decided it wasn’t wor...
by EnjoyIt
Sun Sep 15, 2019 7:14 pm
Forum: Personal Investments
Topic: Target of 25x with delayed "income"?
Replies: 23
Views: 1975

Re: Target of 25x with delayed "income"?

MathIsMyWayr wrote:
Sun Sep 15, 2019 7:12 pm
TomatoTomahto wrote:
Sun Sep 15, 2019 12:45 pm
It might be good enough for you, but personally I’d open a spreadsheet and model it including taxes, growth, distributions, etc. It’s not that hard.

But yes, for a back of the envelope, I guess it’s “good enough.”
This is what math is for.
Hmmm....name checks out....
by EnjoyIt
Sun Sep 15, 2019 7:11 pm
Forum: Personal Finance (Not Investing)
Topic: Would you spend an extra day a week for 1 year working for a luxury
Replies: 27
Views: 2397

Re: Would you spend an extra day a week for 1 year working for a luxury

To those asking questions, let me add some parameters.
1) You get paid time and a half for the job, if you current job offers time and a half
2) The cost of the luxury item's value is what you would make working the extra day.
3) The extra work is exactly what you currently do at work today.
by EnjoyIt
Sun Sep 15, 2019 7:09 pm
Forum: Personal Investments
Topic: Target of 25x with delayed "income"?
Replies: 23
Views: 1975

Re: Target of 25x with delayed "income"?

It might be good enough for you, but personally I’d open a spreadsheet and model it including taxes, growth, distributions, etc. It’s not that hard. But yes, for a back of the envelope, I guess it’s “good enough.” I have a spreadsheet I've built out that accounts for all of these. And I've also use...
by EnjoyIt
Sun Sep 15, 2019 5:46 pm
Forum: Personal Finance (Not Investing)
Topic: Two Chase Sapphire Reserve Cards or one CSR + 1 other
Replies: 12
Views: 1272

Re: Two Chase Sapphire Reserve Cards or one CSR + 1 other

I recommend: 1 CSR 1 chase ink cash for gas, internet, cell phone, and office supply purchases including gift cards 1 chase freedom for all 5% revolving purchases 1 chase freedom unlimited for everything else at 1.5% Some think it is a pain to have and use multiple cards and keep track of which one ...
by EnjoyIt
Sun Sep 15, 2019 5:12 pm
Forum: Personal Finance (Not Investing)
Topic: Would you spend an extra day a week for 1 year working for a luxury
Replies: 27
Views: 2397

Would you spend an extra day a week for 1 year working for a luxury

Here is the scenario: You are offered an opportunity to put in 1 extra day of work every week for 1 year, and it would afford you a luxury item of your desire. I don't necessarily want to state which item because everyone has their own itch. It could be a boat, a nicer car, a pool, a kitchen remodel...
by EnjoyIt
Sun Sep 15, 2019 4:59 pm
Forum: Personal Finance (Not Investing)
Topic: Please help me understand I-orp results
Replies: 35
Views: 1537

Re: Please help me understand I-orp results

... Am I correct to assume it just runs the values directly year after year with no variability as compared to using historical returns such as cfiresim? That is correct. Each tool has a place in your arsenal. i-ORP is really good at what it does and is a very powerful tool when you allow it to ana...
by EnjoyIt
Sun Sep 15, 2019 4:04 pm
Forum: Personal Finance (Not Investing)
Topic: Please help me understand I-orp results
Replies: 35
Views: 1537

Re: Please help me understand I-orp results

The program shows you inflated dollars. $69k today equals $184k at 70 due to inflation. Same purchasing power. It provides you with maximum income level throughout your life based upon all of the assumptions you default to or that you modify. Little changes can have a huge impact on the results. Ch...
by EnjoyIt
Sun Sep 15, 2019 2:09 pm
Forum: Personal Finance (Not Investing)
Topic: Please help me understand I-orp results
Replies: 35
Views: 1537

Re: Please help me understand I-orp results

The program shows you inflated dollars. $69k today equals $184k at 70 due to inflation. Same purchasing power. It provides you with maximum income level throughout your life based upon all of the assumptions you default to or that you modify. Little changes can have a huge impact on the results. Ch...
by EnjoyIt
Sun Sep 15, 2019 1:51 pm
Forum: Personal Finance (Not Investing)
Topic: Please help me understand I-orp results
Replies: 35
Views: 1537

Please help me understand I-orp results

I have always used cfiresim for my analysis but decided to give i-orp a try today and I find the results weird. To see what the issue was I ran a very simple test. I had someone retire at 45 with $2.5 million in a brokerage account with SS at 70 of $25k. I-orp stated that this person can only spend ...
by EnjoyIt
Sun Sep 15, 2019 1:02 pm
Forum: Personal Investments
Topic: Target of 25x with delayed "income"?
Replies: 23
Views: 1975

Re: Target of 25x with delayed "income"?

Curious for your thoughts... If I assume $100k/year expenses without income, 25x is $2.5M. If we had steady income each year in retirement of say $25k, then presumably it would be $100k - $25k = $75k * 25 = $1.9M. But what if we defer our SS/pensions, such that: Years 1 - 10: $0 income (need to cov...
by EnjoyIt
Sun Sep 15, 2019 12:55 pm
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

OP, Is there a plan at some point to open up your spending in the future once assets are high enough? If you are at $1 million, at some point you will be sitting on $1.5 million which will fund your $60k/yr lifestyle (give or take,) and that doesn't even include the pension/SS your family will recei...
by EnjoyIt
Sat Sep 14, 2019 9:18 pm
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

Two relatively new Toyota Corollas that were purchased with cash Vacations: $100 (vacations are mostly paid for by churning credit cards for miles and points) Restaurants: $250 (we go to inexpensive places like Chinese restaurants or Subway) Clothing/Shoes/Hair/Nails: $50 We live very comfortably -...
by EnjoyIt
Sat Sep 14, 2019 5:24 pm
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

Good for you OP! I agree with other posters that it is eye opening how different tax liability can be. $1,700 per year federal and state combined ???? :sharebeer Seriously. This is messed up. Our income is over 400k and we paid over 75k in income taxes. So we make roughly 4x as much money and pay r...
by EnjoyIt
Sat Sep 14, 2019 5:01 pm
Forum: Investing - Theory, News & General
Topic: Bogleheads, how are your three fund portfolios doing?
Replies: 45
Views: 4522

Re: Bogleheads, how are your three fund portfolios doing?

I can not tell you the exact growth over 1, 5, 10 years, but I am very happy with the results thus far. I have been an index fund investor for about 6 years now.
by EnjoyIt
Sat Sep 14, 2019 4:51 pm
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

It’s kind of like how my husband and I both have wealthy parents who paid for our expensive colleges and wedding. We graduated without any debt. This is one of the many factors that allows us to save a lot. It’s not because we are both just soooo smart and made the right choices. I was lucky for th...
by EnjoyIt
Sat Sep 14, 2019 4:47 pm
Forum: Investing - Theory, News & General
Topic: is real estate dead as a diversifier?
Replies: 52
Views: 5327

Re: is real estate dead as a diversifier?

There is a point at which you have to listen politely but take folks comments with a bit of skepticism. One reason is that opinions can be all over the map. I remember not so long ago, Larry Swedroe was warning that REITs were very expensive and then saw an item that REITs were trading at a 10% dis...
by EnjoyIt
Sat Sep 14, 2019 4:32 pm
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

It’s kind of like how my husband and I both have wealthy parents who paid for our expensive colleges and wedding. We graduated without any debt. This is one of the many factors that allows us to save a lot. It’s not because we are both just soooo smart and made the right choices. I was lucky for th...
by EnjoyIt
Sat Sep 14, 2019 2:51 pm
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

You bought your home at extreme low in 2010, otherwise you’d be commuting from Manteca to Silicon Valley. There is an element of good fortune that is enabling your ability to live in tri-Valley Bay Area. This The real estate crash in 2008 to 2010 that allowed the OP to buy at a low price was not so...
by EnjoyIt
Sat Sep 14, 2019 1:34 pm
Forum: Personal Finance (Not Investing)
Topic: Bay Area teacher saving half my income – why the doubt? (and asking more questions)
Replies: 470
Views: 20978

Re: Bay Area teacher saving half my income – why the doubt? (and asking more questions)

Thank you for sharing a middle class suburban lifestyle in a VHCOL area and killing it for themselves. This post should be an inspiration to all those complaining how they have it sooooo tough on an income twice yours. We make 250k+ and would probably not even qualify for a loan to live in your neig...
by EnjoyIt
Sat Sep 14, 2019 11:13 am
Forum: Personal Finance (Not Investing)
Topic: How Have You Planned for Sequence of Return Risk (SOR)?
Replies: 167
Views: 9494

Re: How Have You Planned for Sequence of Return Risk (SOR)?

Randomguy, Thanks for the analysis. I think rebalancing is key for managing sequence of returns in either direction. During good times such as years greater than 4% returns, one should sell equities to buy bonds. During bad times, one should sell stocks to buy equities which psychologically has to ...