My wife is planing on retiring in May 2026 (age 65 and 7 months). I will continue to work until May 2027 (age 66 and 0 months). We will both be insured on my company’s healthcare plan until I retire when we will transition to Medicare.
I wanted to get a sense from the forum if I am thinking correctly about her investment assets and reliable income. My income is significantly higher than her’s and I am deferring my Social Security benefit until age 70 (May 2031).
Her Social Security
If she works up until May 2026, she will file soon to ask for her benefit of about $3,150/month to begin in June so her first check will arrive in July 2026. We will assume 85% of this will be taxable income ($2,678/month) to be paid in Sep 2026 and Jan 2027 1040-ES. By having is start after her last paycheck it should avoid the maximum earned income retirement.
Her Company Pension
She has a small nominal company pension which she will take as a 100% joint and survivor option of about. $1,050/month of taxable income that will begin in June. We will assume that taxes on this income is to be paid in Sep 2026 and Jan 2027 1040-ES.
Her IRA
In the context of our broader asset allocation she has about $1,400,000 in this account. It will be invested in two funds:
$950,000 in Vanguard Life Strategy Moderate Growth (VSMGX) for discretionary spending > 10 years out.
$450,000 in Vanguard Target Retirement Income (VTINX) for discretionary expenses >6, < 10 years out.
She will ask not to have the dividends reinvested but put into VFMXX. I expect that some of this will be withdrawn so taxes as ordinary income will be owed in Sep 2026 and Jan 2027 1040-ES.
I believe that VSMGX pays dividends two times a year (June and December) and VTINX pays dividends four times a year in Mar, Jun, Sep and Dec. For planning purposes I am trying to ballpark the expected income from:
Month——VSMGX——-VTINX
Jun—————X———-——X
Sep———————————-X
Dec—————X—————-X
Can someone help me ballpark this?
Thanks
I wanted to get a sense from the forum if I am thinking correctly about her investment assets and reliable income. My income is significantly higher than her’s and I am deferring my Social Security benefit until age 70 (May 2031).
Her Social Security
If she works up until May 2026, she will file soon to ask for her benefit of about $3,150/month to begin in June so her first check will arrive in July 2026. We will assume 85% of this will be taxable income ($2,678/month) to be paid in Sep 2026 and Jan 2027 1040-ES. By having is start after her last paycheck it should avoid the maximum earned income retirement.
Her Company Pension
She has a small nominal company pension which she will take as a 100% joint and survivor option of about. $1,050/month of taxable income that will begin in June. We will assume that taxes on this income is to be paid in Sep 2026 and Jan 2027 1040-ES.
Her IRA
In the context of our broader asset allocation she has about $1,400,000 in this account. It will be invested in two funds:
$950,000 in Vanguard Life Strategy Moderate Growth (VSMGX) for discretionary spending > 10 years out.
$450,000 in Vanguard Target Retirement Income (VTINX) for discretionary expenses >6, < 10 years out.
She will ask not to have the dividends reinvested but put into VFMXX. I expect that some of this will be withdrawn so taxes as ordinary income will be owed in Sep 2026 and Jan 2027 1040-ES.
I believe that VSMGX pays dividends two times a year (June and December) and VTINX pays dividends four times a year in Mar, Jun, Sep and Dec. For planning purposes I am trying to ballpark the expected income from:
Month——VSMGX——-VTINX
Jun—————X———-——X
Sep———————————-X
Dec—————X—————-X
Can someone help me ballpark this?
Thanks
Statistics: Posted by iim7V7IM7 — Sun Feb 08, 2026 2:29 pm — Replies 0 — Views 26