Tired of investing, where to once and for all

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Mr. Digweed
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Tired of investing, where to once and for all

Post by Mr. Digweed » Mon Sep 18, 2017 12:47 pm

Its becoming a tiresome practice. Its an effort to figure out where to move retirement money. I'm trying to end this practice of figuring how to safe guard my savings/income for myself and spouse. At our age (mid-60's) we would rather manage our health and well-being. What would you do to reduce the nuisance of regularly managing money for rest of your life? Is it possible to set once and forever where to place money for the steady income needed to pay for all that is important (taxes food shelter and etc.)?

lazydavid
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Re: Tired of investing, where to once and for all

Post by lazydavid » Mon Sep 18, 2017 12:54 pm

1. Choose a target date/life strategy/income fund that matches your risk tolerance
2. Move all of your portfolio assets into the fund identified in #1
3. Never need to fiddle with your account again, and only have to deal with it once a year take your annual distribution.

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DaftInvestor
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Re: Tired of investing, where to once and for all

Post by DaftInvestor » Mon Sep 18, 2017 12:54 pm

Do you know what your expenses are? Where is your money today (IRAs? 401Ks? taxable?).
Its fairly straightforward to put everything into a Life-Strategy fund and then set up automatic withdrawals into your living cash account ("steady-income" account). You just need to know what your living expense are and set it up.
Some folks in your situation also look at buying annuities (I'll let others comment on these) which provides life-long income.

Jack FFR1846
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Re: Tired of investing, where to once and for all

Post by Jack FFR1846 » Mon Sep 18, 2017 12:57 pm

What are you now doing that so onerous that you find it tiring? I'm 60 and still working....hope to retire 2-3 years and my AA is set. At a minimum, my IPS says to check target vs actual on my birthday and rebalance if more than 5% off anywhere.

This honestly takes me 15 minutes a year. I suppose if you've sliced and diced and chosen individual stocks and other needlessly complicated setups, it might certainly take more. If that's the case, reduce everything to 3 funds, then do your 15 minutes a year work. Beyond that, go with only target date funds.
Bogle: Smart Beta is stupid

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BogleMelon
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Re: Tired of investing, where to once and for all

Post by BogleMelon » Mon Sep 18, 2017 12:58 pm

It depends on your personal situation and how much you have accumulated Vs how much you would need per month/year.
Needless to say, the more wealth you accumulated the more it is doable to set it and forget.
Vanguard Lifestrategy funds is one way to set it and forget it...
However, if you are in a tight situation with lack of resources and much uncertainty, I am afraid that you would have to continue keeping your eyes open on your budget and finances. But remember, even with tight budget and limited resources, always control that you can control, don't attempt to control things beyond your ability such as chasing higher returns by moving the money consistently from fund to another
Excuse my English, it is my second language! | | "One of the funny things about stock market, every time one is buying another is selling, and both think they are astute" - William Feather

avalpert
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Re: Tired of investing, where to once and for all

Post by avalpert » Mon Sep 18, 2017 12:59 pm

You can pay someone else to do it for you, you can annuitize all of it so all you have to manage is expenses to a known number, or you can continue to manage your financial well being just as you do your diet every day.

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Toons
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Re: Tired of investing, where to once and for all

Post by Toons » Mon Sep 18, 2017 1:02 pm

Mid sixties here,
Pension,,Social Security for both of us,dividends ,cap gains from mutual funds and stocks takes care of business
Not difficult to manage.
Have all monies auto deposited to your bank account.
:happy
"One does not accumulate but eliminate. It is not daily increase but daily decrease. The height of cultivation always runs to simplicity" –Bruce Lee

delamer
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Re: Tired of investing, where to once and for all

Post by delamer » Mon Sep 18, 2017 2:27 pm

Jack FFR1846 wrote:
Mon Sep 18, 2017 12:57 pm
What are you now doing that so onerous that you find it tiring? I'm 60 and still working....hope to retire 2-3 years and my AA is set. At a minimum, my IPS says to check target vs actual on my birthday and rebalance if more than 5% off anywhere.

This honestly takes me 15 minutes a year. I suppose if you've sliced and diced and chosen individual stocks and other needlessly complicated setups, it might certainly take more. If that's the case, reduce everything to 3 funds, then do your 15 minutes a year work. Beyond that, go with only target date funds.
Agreed. If you find the time needed to manage your investments to be onerous, then they are probably too complicated.

Pick a 3 fund portfolio, determine an asset allocation, and then rebalance once a year. Even if you have multiple accounts for you and your wife, you can set an allocation across all the accounts and minimize the number of funds you hold. Once every 5 years, decide if you want to revise your allocation.

John Laurens
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Re: Tired of investing, where to once and for all

Post by John Laurens » Mon Sep 18, 2017 2:55 pm

I work 60-70 hours per week. Investing should take no more than 1 minute per week.

LIfe strategy in tax advantaged and tax managed balanced in taxable.

Regards,
John

livesoft
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Re: Tired of investing, where to once and for all

Post by livesoft » Mon Sep 18, 2017 4:37 pm

John Laurens wrote:
Mon Sep 18, 2017 2:55 pm
I work 60-70 hours per week. Investing should take no more than 1 minute per week.
Actually it should take less time.

I went away into the wilderness earlier this summer out of contact with civilization as you probably know it. When I came back, my investments were still there and chugging along. They did fine without me looking at them.
This signature message sponsored by sscritic: Learn to fish.

johnra
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Re: Tired of investing, where to once and for all

Post by johnra » Mon Sep 18, 2017 9:33 pm

RE: those bloggers here who think financial management is so simple and quick, I say phooey, financial management is complicated and high stakes. 15 minutes a year? Nonsense! I bet most of the people here spend 1-3 hours per day on this web site. I think many many folks, including knowledgeable Bogleheads and DIY-ers are well served by asset management such as available at Schwab, Fidelity, or Vanguard. 0.5% cost is reasonable (or at least, not unreasonable). We recently turned my 92 y/o mother's asset management to a Schwab manager, and they have adjusted her portfolio wisely and this has been a stress reliever.

I love the blogger who thought his >$9,000,000 estate was not worth $3,000 for an estate attorney. Reminds me of my wife and I saving pennies for our mustard and ketchup at the grocery store, and then going to a nice restaurant for dinner and also getting a bottle of wine as well.

venkman
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Re: Tired of investing, where to once and for all

Post by venkman » Mon Sep 18, 2017 10:39 pm

johnra wrote:
Mon Sep 18, 2017 9:33 pm
RE: those bloggers here who think financial management is so simple and quick, I say phooey, financial management is complicated and high stakes. 15 minutes a year? Nonsense! I bet most of the people here spend 1-3 hours per day on this web site. I think many many folks, including knowledgeable Bogleheads and DIY-ers are well served by asset management such as available at Schwab, Fidelity, or Vanguard. 0.5% cost is reasonable (or at least, not unreasonable). We recently turned my 92 y/o mother's asset management to a Schwab manager, and they have adjusted her portfolio wisely and this has been a stress reliever.
How do you know the Schwab manager adjusted the portfolio wisely? If you know enough about investing to know that the Schwab manager made good changes to the portfolio, why couldn't you have advised your mother to make those changes herself and avoid paying the 0.5% fee?

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celia
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Re: Tired of investing, where to once and for all

Post by celia » Mon Sep 18, 2017 11:19 pm

OP, I had relatives who lived so long they just got "tired" of paying bills and watching investments and "having to make decisions". I think there may have been some cognitive decline, but not enough to show up in normal conversation. But, they had done estate planning and the person whom they chose as executor/trustee started taking charge of bills and investments while they were living. It was one less thing they had to think about. And they knew their finances were then taken care of.

Have you done estate planning yet? Do you have someone you trust who could set things up on automatic and make sure all the bills are being paid?

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celia
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Re: Tired of investing, where to once and for all

Post by celia » Mon Sep 18, 2017 11:22 pm

venkman wrote:
Mon Sep 18, 2017 10:39 pm
johnra wrote:
Mon Sep 18, 2017 9:33 pm
RE: those bloggers here who think financial management is so simple and quick, I say phooey, financial management is complicated and high stakes. 15 minutes a year? Nonsense! I bet most of the people here spend 1-3 hours per day on this web site. I think many many folks, including knowledgeable Bogleheads and DIY-ers are well served by asset management such as available at Schwab, Fidelity, or Vanguard. 0.5% cost is reasonable (or at least, not unreasonable). We recently turned my 92 y/o mother's asset management to a Schwab manager, and they have adjusted her portfolio wisely and this has been a stress reliever.
How do you know the Schwab manager adjusted the portfolio wisely? If you know enough about investing to know that the Schwab manager made good changes to the portfolio, why couldn't you have advised your mother to make those changes herself and avoid paying the 0.5% fee?
To avoid future relationship issues when the markets drop, it is sometimes worth paying someone else to make the decisions for a relative instead of you.

venkman
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Re: Tired of investing, where to once and for all

Post by venkman » Tue Sep 19, 2017 12:33 am

celia wrote:
Mon Sep 18, 2017 11:22 pm
venkman wrote:
Mon Sep 18, 2017 10:39 pm
johnra wrote:
Mon Sep 18, 2017 9:33 pm
RE: those bloggers here who think financial management is so simple and quick, I say phooey, financial management is complicated and high stakes. 15 minutes a year? Nonsense! I bet most of the people here spend 1-3 hours per day on this web site. I think many many folks, including knowledgeable Bogleheads and DIY-ers are well served by asset management such as available at Schwab, Fidelity, or Vanguard. 0.5% cost is reasonable (or at least, not unreasonable). We recently turned my 92 y/o mother's asset management to a Schwab manager, and they have adjusted her portfolio wisely and this has been a stress reliever.
How do you know the Schwab manager adjusted the portfolio wisely? If you know enough about investing to know that the Schwab manager made good changes to the portfolio, why couldn't you have advised your mother to make those changes herself and avoid paying the 0.5% fee?
To avoid future relationship issues when the markets drop, it is sometimes worth paying someone else to make the decisions for a relative instead of you.
Fair enough.

Though that in itself could lead to the issue of "Why did you turn my money over to this so-called professional who didn't even see the market drop coming and STILL has the temerity to charge me .50%?" :happy

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Earl Lemongrab
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Re: Tired of investing, where to once and for all

Post by Earl Lemongrab » Tue Sep 19, 2017 2:42 pm

I have to say that I don't see the complexity. I run my investments once a month, and it takes less than 30 minutes to update. I check my bank accounts when I get the balances to look for any anomalies. I check my credit cards when it's time to pay them, another maybe 20 minutes a month. Where is all this supposed time and effort?
This week's fortune cookie: "You will do well to expand your horizons." Ow. Passive-aggressive and vaguely ominous.

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bottlecap
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Re: Tired of investing, where to once and for all

Post by bottlecap » Tue Sep 19, 2017 4:30 pm

lazydavid wrote:
Mon Sep 18, 2017 12:54 pm
1. Choose a target date/life strategy/income fund that matches your risk tolerance
2. Move all of your portfolio assets into the fund identified in #1
3. Never need to fiddle with your account again, and only have to deal with it once a year take your annual distribution.
Amen. This is all you need to do.

I haven't quite gotten there myself, but it's where I'm heading. Creating a portfolio for yourself is needlessly burdensome and is far from likely to produce any financial benefit.

Good luck,

JT

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Earl Lemongrab
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Re: Tired of investing, where to once and for all

Post by Earl Lemongrab » Tue Sep 19, 2017 4:51 pm

Regardless of whether you do any actions, you should access and review your accounts once a month or more frequently. You have a requirement to report problems in a timely fashion.
This week's fortune cookie: "You will do well to expand your horizons." Ow. Passive-aggressive and vaguely ominous.

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