Dear experts
I'm planning to retire in almost a year from now and have been trying to get a handle of my finances during retirement. I met a fee-based fiduciary financial planner recently. After paying $2,500, I realized I knew "more" than the planner. So, I've decided to educate myself and take care of my finances. I'm hoping you folks can shed some lights. Please see below; thanks in advance for your help!
Emergency funds: Yes, 6 months of living expenses
Debt: Mortgage ($16.4k will be paid off by April 2025), no credit card balances
Tax Filing Status: Head of Household for 2024 & then Single
Tax Rate: 16.2% Federal, 3% State (both are effective rates based on 2023 return)
State of Residence: Ohio (as of now, I might move to Illinois after retirement)
Age: 65
Retirement date: May 1, 2025
Desired Asset allocation: 30% stocks / 60% bonds (not sure????)
Desired International allocation: 10% of stocks (not sure????)
Approximate size of total portfolio: 1.122M
Current portfolio:
Taxable
2.87% Vanguard cash reserves federal money market admiral (VMRXX) (0.10%)
2.41% Vanguard balanced index admiral CL (VBIAX) (0.09%)
1.62% Vanguard Wellington investor CL (VWELX) (0.09%)
0.49% Series I Savings Bond (Treasury) (N/A) (N/A)
403b @ TIAA (no company match)
1.24%American Century Mid Cap Value R6 (AMDVX) (0.63%)
1.24%CREF Social Choice R4 (QSCCFX) (0.07%)
0.90%Champlain Mid Cap Institutional (CIPIX) (0.84%)
0.94%ClearBridge International Growth IS (LMGNX) (0.79%)
0.94%JPMorgan Equity Income R6 (OIEJX) (0.45%)
1.54%PGIM High Yield R6 (PHYQX) (0.38%)
0.93%Vanguard Inflation-Protected Secs I (VIPSX) (0.20%)
4.33%Vanguard Total Bond Market Index Fund Institutional (VBTIX) (0.04%)
1.24%Vanguard Total Intl Stock Index I (VTIAX) (0.11%)
2.47%Western Asset Core Plus Bond IS (WACPX) (0.45%)
2.49%iShares S&P 500 Index Fund Class K (WFSPX) (0.03%)
11.66%CREF Core Bond R3 (QCBMIX) (0.25%)
9.20%CREF Global Equities R3 (QCGLIX) (0.20%)
3.66%CREF Inflation-Linked Bond R3 (QCILIX) (0.17%)
1.82%CREF Money Market R3 (QCMMIX) (0.19%)
6.15%CREF Social Choice R3 (QCSCIX) (0.22%)
4.29%CREF Stock R3 (QCSTIX) (0.23%)
7.60%TIAA Real Estate (QREARX) (1.02%)
29.2%TIAA guaranteed (N/A) (?)
Roth IRA @ Vanguard
0.72%Vanguard Target Retirement 2030 (VTHRX) (0.08%)
Contributions: No annual Contributions
Pension (it's not clear if there will be COLA, so let's assume there's no COLA): $101,794/year
Social security (to start collecting at age 70.5): $2,676/year
Expected retirement expenses during retirement:
Medical (Medicare premiums, supplemental insurance, copay, etc.): $16,320/year
Travel (until age 85): $14,400/year
Other expenses: $33,600
Length of retirement: until age 95 (wishful thinking!)
Questions:
1. Do I have too many funds?
2. Is my portfolio too conservative for someone who will retire in less than 1 year?
3. My hope is to leave about $500k (in today's dollar) for my children. Is this goal achievable with my current allocations/funds?
I'm planning to retire in almost a year from now and have been trying to get a handle of my finances during retirement. I met a fee-based fiduciary financial planner recently. After paying $2,500, I realized I knew "more" than the planner. So, I've decided to educate myself and take care of my finances. I'm hoping you folks can shed some lights. Please see below; thanks in advance for your help!
Emergency funds: Yes, 6 months of living expenses
Debt: Mortgage ($16.4k will be paid off by April 2025), no credit card balances
Tax Filing Status: Head of Household for 2024 & then Single
Tax Rate: 16.2% Federal, 3% State (both are effective rates based on 2023 return)
State of Residence: Ohio (as of now, I might move to Illinois after retirement)
Age: 65
Retirement date: May 1, 2025
Desired Asset allocation: 30% stocks / 60% bonds (not sure????)
Desired International allocation: 10% of stocks (not sure????)
Approximate size of total portfolio: 1.122M
Current portfolio:
Taxable
2.87% Vanguard cash reserves federal money market admiral (VMRXX) (0.10%)
2.41% Vanguard balanced index admiral CL (VBIAX) (0.09%)
1.62% Vanguard Wellington investor CL (VWELX) (0.09%)
0.49% Series I Savings Bond (Treasury) (N/A) (N/A)
403b @ TIAA (no company match)
1.24%American Century Mid Cap Value R6 (AMDVX) (0.63%)
1.24%CREF Social Choice R4 (QSCCFX) (0.07%)
0.90%Champlain Mid Cap Institutional (CIPIX) (0.84%)
0.94%ClearBridge International Growth IS (LMGNX) (0.79%)
0.94%JPMorgan Equity Income R6 (OIEJX) (0.45%)
1.54%PGIM High Yield R6 (PHYQX) (0.38%)
0.93%Vanguard Inflation-Protected Secs I (VIPSX) (0.20%)
4.33%Vanguard Total Bond Market Index Fund Institutional (VBTIX) (0.04%)
1.24%Vanguard Total Intl Stock Index I (VTIAX) (0.11%)
2.47%Western Asset Core Plus Bond IS (WACPX) (0.45%)
2.49%iShares S&P 500 Index Fund Class K (WFSPX) (0.03%)
11.66%CREF Core Bond R3 (QCBMIX) (0.25%)
9.20%CREF Global Equities R3 (QCGLIX) (0.20%)
3.66%CREF Inflation-Linked Bond R3 (QCILIX) (0.17%)
1.82%CREF Money Market R3 (QCMMIX) (0.19%)
6.15%CREF Social Choice R3 (QCSCIX) (0.22%)
4.29%CREF Stock R3 (QCSTIX) (0.23%)
7.60%TIAA Real Estate (QREARX) (1.02%)
29.2%TIAA guaranteed (N/A) (?)
Roth IRA @ Vanguard
0.72%Vanguard Target Retirement 2030 (VTHRX) (0.08%)
Contributions: No annual Contributions
Pension (it's not clear if there will be COLA, so let's assume there's no COLA): $101,794/year
Social security (to start collecting at age 70.5): $2,676/year
Expected retirement expenses during retirement:
Medical (Medicare premiums, supplemental insurance, copay, etc.): $16,320/year
Travel (until age 85): $14,400/year
Other expenses: $33,600
Length of retirement: until age 95 (wishful thinking!)
Questions:
1. Do I have too many funds?
2. Is my portfolio too conservative for someone who will retire in less than 1 year?
3. My hope is to leave about $500k (in today's dollar) for my children. Is this goal achievable with my current allocations/funds?
Statistics: Posted by Cincy_1988 — Mon Jun 10, 2024 3:34 pm — Replies 2 — Views 325
