So the year is officially half over

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tennisplyr
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So the year is officially half over

Post by tennisplyr » Mon Jul 01, 2019 6:41 am

Now that we're at the midway point of the year, how do you think your plan is working? Are you satisfied? Any major changes coming?
Those who move forward with a happy spirit will find that things always work out.

carolinaman
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Re: So the year is officially half over

Post by carolinaman » Mon Jul 01, 2019 6:44 am

No changes for me. I have a simple portfolio and am a "stay the course" investor. The market has been good, but even if it were not, I would still not make any changes.

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Sheepdog
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Re: So the year is officially half over

Post by Sheepdog » Mon Jul 01, 2019 6:52 am

NO, the future begins today.
It's not what you gather, but what you scatter which tells what kind of life you have lived---Helen Walton

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oldcomputerguy
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Re: So the year is officially half over

Post by oldcomputerguy » Mon Jul 01, 2019 7:03 am

My IPS calls for checking twice a year (once on my birthday, and the other six months later) to see if I need to rebalance. One of those dates hits this month. Other than possibly rebalancing, no, no changes contemplated.
"I’ve come around to this: If you’re dumb, surround yourself with smart people; and if you’re smart, surround yourself with smart people who disagree with you." (Aaron Sorkin)

zrail
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Re: So the year is officially half over

Post by zrail » Mon Jul 01, 2019 7:07 am

We’re in the process of putting some serious money into our house. We’re adding a bedroom and replacing the deck, as well as adding some moderately fancy window treatments.

As for investments, I’m starting a new job and need to figure out a new 401k and RSUs, but since it’s a pre-IPO company the latter is most just learning how they work. Other than that we are in stay-the-course mode.

Rus In Urbe
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Re: So the year is officially half over

Post by Rus In Urbe » Mon Jul 01, 2019 7:35 am

STC.

Our overall AA is 50/50.
Mortgage paid off long ago.
Retirement for me starts in December.
DH is already retired and on SS & RMDs.
A five-year CD ladder bridges us to my RMD & SS moment.

No major changes no matter where the market goes from here.

The hatches are battened.
The garden is flowering.
Feeling lucky and grateful.

And super thankful for all I've learned from fellow BHs!
I'd like to live as a poor man with lots of money. ~Pablo Picasso

ERguy101
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Re: So the year is officially half over

Post by ERguy101 » Mon Jul 01, 2019 7:35 am

I have stayed the course better than any year previously, and trying to keep finding myself in scenarios where I just blow money like crazy. I almost got into residential real estate rentals but thankfully just put $35k into FRESX.

SGM
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Re: So the year is officially half over

Post by SGM » Mon Jul 01, 2019 7:43 am

We have been slowly increasing our allocation to bonds in retirement, mostly with any dividends and any extra cash left over after expenditures and do not expect to change that strategy this year.

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Portfolio7
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Re: So the year is officially half over

Post by Portfolio7 » Mon Jul 01, 2019 5:58 pm

tennisplyr wrote:
Mon Jul 01, 2019 6:41 am
Now that we're at the midway point of the year, how do you think your plan is working? Are you satisfied? Any major changes coming?
Plan is working ok. As long as Large Cap US is running the show, I'll be lagging a little. We are in that final push to double our savings one more time before retirement, so I'm a bit anxious for it to happen asap... but yes, I'm satisfied. No major changes coming. Everyone and their mother seems to be predicting recession at some point soon and cash outflows from equities are at record highs, but I'm trying not to be swayed by the bearish bias of the current market, or my own bullish bias that mean reversion of cash outflows will mean one more surge in the market this year.
An investment in knowledge pays the best interest.

NYCwriter
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Re: So the year is officially half over

Post by NYCwriter » Mon Jul 01, 2019 8:15 pm

I got busy mid-2018 and fully rebalanced, because I'd run up so much--riding up to 80/20 on the bull when I entered my 50s, then 70/30.... I'd say I got lucky. My financial plan had been a bit loose and I really spent time on it last year.

I feel a lot more confident now, with a reasonable allocation and a clear plan. The possibility of a slower economy doesn't bother me.

I have a better handle on tax-efficient structuring than I did just 3 years ago, across my taxable/retirements. Bogleheads has been very useful for this.

I'd been looking to buy a place in NJ/NY metro for a few years, but with taxes/fees/mortgage etc. I decided to give up. I'm now content to rent (rent stabilized) until at least retirement and not worry about losing an opportunity. Because I'd been so frugal, I decided to make some updates to my apt and am now enjoying my home as a home.

Hatch Batten
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Re: So the year is officially half over

Post by Hatch Batten » Mon Jul 01, 2019 11:11 pm

One recent adjustment to the plan is to adopt a portfolio with (theoretically) lower volatility for the 10 year period from 5 years pre-retirement to 5 years post-retirement. This is when sequence-of-returns risk is highest, statistically.

Current mix is large cap value, mid-cap blend, emerging markets & intermediate treasuries. The portfolio for smoother sailing will add in some gold, REITs, and move half the international from EM into Pacific.

JakeyLee
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Re: So the year is officially half over

Post by JakeyLee » Mon Jul 01, 2019 11:48 pm

Good question. Thanks for asking. I started full tilt in 1989, so I've seen three markets/time frames that have spooked me.. Now I feel really good. Not because we are at record highs. No, I feel good that all that work has positioned me to with stand another worst case scenario black swan type event. Yeah. It took me over 20 years to realize that getting to a desired savings rate is what will never allow me to hit rock bottom. In other words, I have lived so well without debt/excess spending/etc., that if all goes bad, I will be just fine.. Housing market collapses? Who cares, mines paid off. Lose my job? Who cares; I got a couple years of expenses before selling my assets. Market loses 50% of its value? Who cares; I can still fend for myself for a decade or two.

My point you ask? Boglehead principals have given me peace of mind to weather bad times. I never much cared for planning for "the best times".. I believe I might be already livin' them.

rossington
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Re: So the year is officially half over

Post by rossington » Tue Jul 02, 2019 2:37 am

Staying the course,focused on fundamentals and not listening to the noise. Keeping emotion out of all investment decisions. Recently retired and thrilled to finally have the time to be able to spend as much time as I want on our portfolio. (AND OP: Hoping that Fed can win another major and no red tide this year!! :beer ).
"Success is going from failure to failure without loss of enthusiasm." Winston Churchill.

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tennisplyr
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Re: So the year is officially half over

Post by tennisplyr » Tue Jul 02, 2019 6:33 am

rossington wrote:
Tue Jul 02, 2019 2:37 am
Staying the course,focused on fundamentals and not listening to the noise. Keeping emotion out of all investment decisions. Recently retired and thrilled to finally have the time to be able to spend as much time as I want on our portfolio. (AND OP: Hoping that Fed can win another major and no red tide this year!! :beer ).

Nadal fan here lol and amen to red tide...went to Siesta Key beach the other day and it was lovely!
Those who move forward with a happy spirit will find that things always work out.

CnC
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Re: So the year is officially half over

Post by CnC » Tue Jul 02, 2019 7:43 am

tennisplyr wrote:
Mon Jul 01, 2019 6:41 am
Now that we're at the midway point of the year, how do you think your plan is working? Are you satisfied? Any major changes coming?
Big change coming for me, I have been sitting on a very sizable amount of cash (CD's) bought in 2016 waiting to see what I want to do with my money. Since I was very uneducated about the stock market and was considering investing in other assets.

We very very aggressively invested in the market since then and I have been pleased with the results the knowledge I gained as well as my tolerance for ups and downs (last November and December didn't get to me at all)

I will likely change from a 95% stock portfolio with this money sitting on the sidelines to an 80-20 portfolio when I buy in.

I have watched our total cash net value (cash, cd's, investments) climb 50% in the last 2 years. I am hopeful that the next 20 years produce somewhat similar results.

Accrual
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Re: So the year is officially half over

Post by Accrual » Tue Jul 02, 2019 7:58 am

I added short-term TIPs. AA is 70/30 @ late 20s.

FootballFan5548
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Re: So the year is officially half over

Post by FootballFan5548 » Tue Jul 02, 2019 8:40 am

It's a nervous time. Things have been very good so far this year, but all the noise is predicting a recession. I'm currently 80/20 and 35 years old. I just hit 7 figures for the first time and would hate to see so much of it evaporate.

I might dial the equities back by 5%.... true market timing, but maybe i'm not cracked up for 80/20. I'd make the switch in my 401k for no tax consequence.

Shamb3
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Re: So the year is officially half over

Post by Shamb3 » Tue Jul 02, 2019 11:31 am

2 changes that work together.
My 401k contributions have shifted to be mostly pre tax.

I am also leaving the 100% equities club earlier than planned.
I am leaving slowly though as the fear of missing out on gains is strong with me :D
I am 40 now and have aspirations to retire around 55.

Original: Wait and re-balance into 40% bonds between 48 and 55.

New:
From 40 to 48 40% to 60% of new investment money goes into bonds. This should get me to 15-20%.
I may consider re-balancing towards 100% equities in a downturn >= 30%.

From 48 to 55 use re-balancing to arrive at 40% retirement date allocation.
I may consider re-balancing towards 80% equities in a downturn of >= 30%.

These changes ramp me into bonds sooner but much more slowly than doing it on a percentage basis. It dollar cost averages me in. It also lowers my tax liability now and lands my new bonds in my traditional 401k account instead of the Roth.

hightower
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Re: So the year is officially half over

Post by hightower » Tue Jul 02, 2019 11:45 am

tennisplyr wrote:
Mon Jul 01, 2019 6:41 am
Now that we're at the midway point of the year, how do you think your plan is working? Are you satisfied? Any major changes coming?
So far, I managed to get rid of a debt that I had chosen to get rid of a year prior, so I am definitely satisfied by that. I've also put away a nice little e-e-fund. Due to changing employers, I have not yet maxed out our 401k space or funded our Roth IRAs. But, the plan for the rest of this year is to accomplish that while also socking away some money in taxable. We have been funding an HSA and my 9 month old's 529. So, that feels good.
Major changes coming? I never know. My employment is always a big question mark because I hate my career and want to change. If I stayed employed in my current position, prospects are very, very good financially speaking. We spend way below our means and I make a lot of money. If I change careers (which would be better for my mental/emotional health) financial prospects are less rosy, but I'd likely be a happier person overall. We shall see how it all works out. Right now I'm experimenting with changing the work life balance a little by working fewer days per month. If I find that I feel happy enough to persist, then I shall persist. If, despite cutting back, I'm still miserable, then I will change careers.

bhsince87
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Re: So the year is officially half over

Post by bhsince87 » Tue Jul 02, 2019 2:05 pm

Definitely a change in plans for m. I just retired Jan 1, so this was my first 6 months.

Original plan was to spend interest and dividends until DW retires in two years. Then increase spending to 3% to cover health insurance.

So that would have given me about $5k per month to spend over the past 6 months. But my actual spend was less than $3k per month..... I am having trouble spending right now, and I need to figure out how to get over that.

Meanwhile, we're up about $350k since Jan 1. Nice work if you can get it!

So now the plan is for DW to retire this year. She can get a package of about 8 months pay.

I also had a goal of not doing ANYTHING on a potential part time job search for 6 months. Just sit back and relax, work on some hobbies, and think about what I want to do longer term. Well, I discovered, as I feared, while I enjoyed my hobbies part time before, I don't enjoy them enough to keep me interested 24/7/365. So I decided I would like to do some sort of consulting/contracting/freelance work, from time to time.

I tried to find something like that for a few years before I actually semi-retired, but had no luck. But I decided to restart a job search for such a position, and started looking yesterday! I think I'm going to give technical writing a try first.
"If ye love wealth better than liberty, the tranquility of servitude better than the animating contest of freedom, go home from us in peace." Samuel Adams

kaeltor
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Re: So the year is officially half over

Post by kaeltor » Tue Jul 02, 2019 3:15 pm

bhsince87 wrote:
Tue Jul 02, 2019 2:05 pm
Definitely a change in plans for m. I just retired Jan 1, so this was my first 6 months.

Original plan was to spend interest and dividends until DW retires in two years. Then increase spending to 3% to cover health insurance.

So that would have given me about $5k per month to spend over the past 6 months. But my actual spend was less than $3k per month..... I am having trouble spending right now, and I need to figure out how to get over that.

Meanwhile, we're up about $350k since Jan 1. Nice work if you can get it!

So now the plan is for DW to retire this year. She can get a package of about 8 months pay.

I also had a goal of not doing ANYTHING on a potential part time job search for 6 months. Just sit back and relax, work on some hobbies, and think about what I want to do longer term. Well, I discovered, as I feared, while I enjoyed my hobbies part time before, I don't enjoy them enough to keep me interested 24/7/365. So I decided I would like to do some sort of consulting/contracting/freelance work, from time to time.

I tried to find something like that for a few years before I actually semi-retired, but had no luck. But I decided to restart a job search for such a position, and started looking yesterday! I think I'm going to give technical writing a try first.
Sheesh, I am only up ~24K since January

Then again, I don't have that much invested, and my income is probably on the lower side for thsi forum's demographic (~72K).

bhsince87
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Re: So the year is officially half over

Post by bhsince87 » Tue Jul 02, 2019 3:28 pm

kaeltor wrote:
Tue Jul 02, 2019 3:15 pm



Sheesh, I am only up ~24K since January

Then again, I don't have that much invested, and my income is probably on the lower side for thsi forum's demographic (~72K).
It's mostly the power of compounding in action. I've been investing for 32+ years now. But in the past 6-7 years, we were saving $50-70k per year, and that definitely helped.
"If ye love wealth better than liberty, the tranquility of servitude better than the animating contest of freedom, go home from us in peace." Samuel Adams

Cuervo_loco
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Re: So the year is officially half over

Post by Cuervo_loco » Tue Jul 02, 2019 4:26 pm

tennisplyr wrote:
Mon Jul 01, 2019 6:41 am
Now that we're at the midway point of the year, how do you think your plan is working? Are you satisfied? Any major changes coming?
I used the TSP Interfund transfer option to move everything in my portfolio to the L2050 fund. I planned/specified an overall 80% stock, 20% bond AA and felt that I was over complicating things by trying to figure out my AA. I’m comfortable with international at ~20% of overall stock allocation.

Previously (the day prior to reallocation) I had allocated to my traditional 401(k) distributions:
68.21% - TSP L2050
19.90% - TSP C Fund
11.89% - TSP G Fund

TSP L2050 is:
40% - C Fund: Common Stock Index Investment Fund
13% - S Fund: Small Cap Stock Index Investment Fund
29% - I Fund: International Stock Index Investment Fund
7% - F Fund: Fixed Income Index Investment Fund (Bond)
11% - G Fund: Government Securities Investment Fund (Bond)

Also: Vanguard Roth IRA Three-Fund:
64% VTSAX
16% VTIAX
20% VBTLX

Now means I should be at 81% stock and 19% bond AA which I will adjust as it drifts by balancing into VBTLX. I see no point in having a very small G fund balance. Also, I’m not great with numbers so simple is good. :sharebeer

Rudedog
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Re: So the year is officially half over

Post by Rudedog » Tue Jul 02, 2019 4:37 pm

Had a grandson born, healthy, growing like a weed. Went on an Alaska cruise with my wife, daughter and son-in-law. Had some medical bills up to my deductible. Looking at a hip replacement this Fall. Happy with my asset allocation right now. Looking to renew some maturing CDs, probably at lower rates. Life is good.

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WestUniversity
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Re: So the year is officially half over

Post by WestUniversity » Tue Jul 02, 2019 5:07 pm

carolinaman wrote:
Mon Jul 01, 2019 6:44 am
No changes for me. I have a simple portfolio and am a "stay the course" investor. The market has been good, but even if it were not, I would still not make any changes.
Ditto...

jebmke
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Re: So the year is officially half over

Post by jebmke » Tue Jul 02, 2019 5:13 pm

Rudedog wrote:
Tue Jul 02, 2019 4:37 pm
Had a grandson born
They know what causes that now. :P
Congratulations.
When you discover that you are riding a dead horse, the best strategy is to dismount.

gold-rabbit
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Re: So the year is officially half over

Post by gold-rabbit » Tue Jul 02, 2019 5:24 pm

My plan is going well but I don't feel comfortable about what's going on with the news in general. I'm considering changing plans to go a little more in bonds.

dewey
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Re: So the year is officially half over

Post by dewey » Tue Jul 02, 2019 5:28 pm

I'm staying the course. Re-balancing as needed. Turned 70 on Friday. 50/50 portfolio, basically 4-fund. Definitely bracing for likely downturn at some point. All thanks to JB and this wonderful site.
“The only freedom that is of enduring importance is freedom of intelligence…”

Trader Joe
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Re: So the year is officially half over

Post by Trader Joe » Tue Jul 02, 2019 6:04 pm

tennisplyr wrote:
Mon Jul 01, 2019 6:41 am
Now that we're at the midway point of the year, how do you think your plan is working? Are you satisfied? Any major changes coming?
My plan is working as expected. My investment results/returns are superb. I have no plans to change. Best of luck.

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tennisplyr
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Re: So the year is officially half over

Post by tennisplyr » Tue Jul 02, 2019 6:15 pm

Had first grandson, going on an Alaskan cruise this week, playing lots of tennis and pickleball, I am blessed...life is great! Staying the course @50/50. Cheers.
Those who move forward with a happy spirit will find that things always work out.

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Doom&Gloom
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Re: So the year is officially half over

Post by Doom&Gloom » Tue Jul 02, 2019 6:18 pm

WestUniversity wrote:
Tue Jul 02, 2019 5:07 pm
carolinaman wrote:
Mon Jul 01, 2019 6:44 am
No changes for me. I have a simple portfolio and am a "stay the course" investor. The market has been good, but even if it were not, I would still not make any changes.
Ditto...
Same.

The flipping of pages of an arbitrary calendar does not affect my decisions (disregarding those imposed on me by tax law, RMDs, etc). It is one ever-shrinking time frame. I try to make adjustments to my long-term plan as needed. Fortunately, they are seldom needed.

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dogagility
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Re: So the year is officially half over

Post by dogagility » Tue Jul 02, 2019 6:19 pm

ditto
Taking "risk" since 1995.

MrBobcat
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Re: So the year is officially half over

Post by MrBobcat » Tue Jul 02, 2019 6:22 pm

tennisplyr wrote:
Mon Jul 01, 2019 6:41 am
Now that we're at the midway point of the year, how do you think your plan is working? Are you satisfied? Any major changes coming?
Well I joined Bogleheads and made a plan. :P

Got out from under EJ and their guided solutions theft program. Reduced my holdings from 40ish stocks/funds, reevaluated my AA after reading and understanding it and now everything is in either total us, total international. total us bond and a small % to small cap value index funds. Read up learned about asset placement/tax efficiency and everything is lined up and good to go.

So yes I'm satisfied and I owe a big, big thank you to Bogleheads.org.

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