Vanguard Investment strategies for already retired

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Topic Author
becky2015
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Location: Colorado

Vanguard Investment strategies for already retired

Post by becky2015 »

Hello:

I am a single retired teacher, age 54. I would be interested in recommended Vanguard funds for someone already retired. Also, if there is anything tax-advantaged as I have no work income. I have a full pension, emergency cash savings, no debt and one rental property that nets 1K per month. I just put 11K in VTSAX. I have about 30K in a TIAA403b and 2K in a ROTH savings at the bank. I would like to invest about 15K more in stocks, but need advice. I would plan to hold these for around 11 years until age 65.
Last edited by becky2015 on Mon Aug 13, 2018 5:04 pm, edited 2 times in total.
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CaliJim
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Re: Investment strategies for already retired

Post by CaliJim »

becky2015 wrote: Mon Aug 13, 2018 4:03 pm Hello:

I am a retired teacher, age 54. I would be interested in investment strategies for someone already retired. I have a full pension and bring home about 4K per month. I have no debt and one rental property that nets 1K per month. I just put 11K in VTSAX. I have about 30K in a TIAA403b and 2K in a ROTH savings at the bank. I would like to invest about 15K more in stocks, but need advice.
Welcome to the forum.

What kind of advice did you want exactly?

This is not really the place to get 'hot stock tips'. We don't have those here. We'd rather give you advice on how to design a portfolio, than tell you how to invest a specific amount of money you have kicking about.

And, you haven't really given us much to go on. Please see this post (viewtopic.php?f=1&t=6212) and consider reformatting your post so as to include the info requested.

Do you have an emergency fund?

BTW: VTSAX is good.

You might consider Vanguard Total World Stock ETF (VT) to get exposure to equity markets outside the US.

Broad diversity and low expense ratios are your friends. Read the getting started guide in this website's Wiki. (linked above and below).
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Topic Author
becky2015
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Joined: Mon Aug 13, 2018 3:45 pm
Location: Colorado

Re: Investment strategies for already retired

Post by becky2015 »

reworded above
Last edited by becky2015 on Mon Aug 13, 2018 5:05 pm, edited 3 times in total.
Topic Author
becky2015
Posts: 6
Joined: Mon Aug 13, 2018 3:45 pm
Location: Colorado

Re: Investment strategies for already retired

Post by becky2015 »

CaliJim wrote: Mon Aug 13, 2018 4:22 pm
becky2015 wrote: Mon Aug 13, 2018 4:03 pm Hello:


What kind of advice did you want exactly?

This is not really the place to get 'hot stock tips'. We don't have those here. We'd rather give you advice on how to design a portfolio, than tell you how to invest a specific amount of money you have kicking about.

And, you haven't really given us much to go on. Please see this post (viewtopic.php?f=1&t=6212) and consider reformatting your post so as to include the info requested.

Do you have an emergency fund?

BTW: VTSAX is good.

You might consider Vanguard Total World Stock ETF (VT) to get exposure to equity markets outside the US.

Broad diversity and low expense ratios are your friends. Read the getting started guide in this website's Wiki. (linked above and below).
Beehave
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Joined: Mon Jun 19, 2017 12:46 pm

Re: Investment strategies for already retired

Post by Beehave »

Congratulations on your retirement. Regarding investing, diversification is generally considered the wise course of action. So the total US index is a great start. You might also consider investing in a total international index and then in a bond or money market fund or CD ladder. Also, spreading tax liabilities in post-tax investments, Roth IRA, and your 403b (or whatever) will be worth considering.

If none of your retirement income stream is inflation-indexed, then possible some TIPS (Treasury Inflation Protected Securities) would be good to have.

The US stock, International sock, Bond (or cash) investment method is called a "three fund portfolio" and there are many threads and suggested reading in this forum. A free and excellent description of the three fund method for investing can be found here:

https://www.etf.com/docs/IfYouCan.pdf

It is addressed to millennials but it's great for all ages. The Vanguard funds (in add'n to the Total US Stock fund) would be the Total International Fund and the Total Bond Fund.
livesoft
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Re: Vanguard Investment strategies for already retired

Post by livesoft »

If you hold VTSAX for 15 years in a taxable account, it is possible that you pay no taxes on that holding. So that's one definition of tax-advantaged.

It is also possible that you would pay taxes. It depends on information you did not give us.
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Topic Author
becky2015
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Re: Vanguard Investment strategies for already retired

Post by becky2015 »

Can I invest through a ROTH IRA if I am already retired?
livesoft
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Re: Vanguard Investment strategies for already retired

Post by livesoft »

One can only contribute to a Roth IRA if one has earned income which usually comes from a job.

But you can convert some of your 403(b) money to a Roth IRA if you want to and pay taxes on the amount converted.
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Nightowl99
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Re: Vanguard Investment strategies for already retired

Post by Nightowl99 »

I'm not an expert but would recommend the books listed in the "Suggested Reading" section of this website, along with books by Jane Bryant Quinn, such as How to Make Your Money Last. That book, along with the Bogleheads' Guide to Investing, helped a lot with my retirement planning, so I would definitely recommend them if you haven't read them already.
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rkhusky
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Re: Vanguard Investment strategies for already retired

Post by rkhusky »

What are the plans for the amount invested for the next 11 years? If the intent is to pull it out for a purchase, then it should be invested in something relatively safe. If the intent is to gradually pull it out for some extra living expenses or non-essentials, then one could invest more aggressively. Does your pension cover all your current living expenses or do you also need the rental income?
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