Yes, total portfolio right now about 430k, but I am in the middle of purchasing my out-of-state years with IRA money. The projected portfolio after purchasing the years looks to be about 40k in non-IRA savings in a high-yield account, 135k-IRA in Index Funds, and 165k- IRA in a balanced fund.Do you have other savings, maybe in stock funds, that could protect you from inflation?
Theoretically I could do the following as I retire in August:
1. reduce the HYSA to about 10k and CD-Ladder the rest - 30k
2. build a CD ladder for income with a large chunk of the IRA money, say 100k and leave the rest in the balanced fund/index fund.
3. invest money earned from a job into an aggressive index fund - earn about 20k per year.
4. invest SS income into an index fund. - I plan to take SS at 62, because this is "found money", Iow because of the SS Fairness Act, this is far more than I had anticipated, so I am getting as much as I can as soon as I can. I got an estimate from SS the week after the SS Fairness act passed, and they say I am looking at getting an astounding $1113 per month, over twice what I was predicting without the Fairness Act.
My previous thought about inflation was to buy an SPIA at age 75 to 77 with the max I could buy, half of my portfolio.
This new development means I do not have to buy an SPIA, because I will have 2 pensions that have annual increases, SS and the pension.
I am becoming like my father no doubt. He has two pensions with annual increases, SS and his military retirement.
Statistics: Posted by AlaskaTeach — Fri Feb 14, 2025 11:44 pm — Replies 6 — Views 601