Advice needed re: retirement and large cash savings (retiree, grandfather, family)

[mathjak107]

Please include me on the when to bail list when you get the memo. I stopped getting notice for years.

[jlawrence01]

Originally Posted by mathjak107

Please include me on the when to bail list when you get the memo. I stopped getting notice for years.

When I was on the 401(k) committee for a large firm, I used to hear people boast about "getting out at the high" and "getting in" at the low.

Generally when you reviewed the records, they were out long before the high and stayed out well past the low..

Timing is a losing proposition.

[jrkliny]

I don't pretend to be able to time the market. Like others I can observe the trends in the markets and economy and adjust my portfolio accordingly. I have no thought that I can time the highs and lows nor do I intent to try. The stock market has been returning 12-20% over the past few years. I am not looking at aggressive investments and have been happy with returns in the 8-12% range. A well diversified portfolio will hold up to a lot of changes and further adjusting allocations based on long term cycles will help.

[jrkliny]

Originally Posted by mathjak107

Please include me on the when to bail list when you get the memo. I stopped getting notice for years.

And I thought you were doing the Dr Oz glidepath. By the time you are increasing your stock allocation, I will likely be decreasing mine.

[mathjak107]

with rates this low the glide path is not optimum so i am already at just about 50/50 or so. but i do have my fingers crossed i don't get whacked by alot early on before a good up cycle while spending down. i didn't want such heaviness in bonds .

our max budget was set based on portfolio value may 1st since we are already drawing down while working part time

[TuborgP]

Originally Posted by mathjak107

with rates this low the glide path is not optimum so i am already at just about 50/50 or so. but i do have my fingers crossed i don't get whacked by alot early on before a good up cycle while spending down. i didn't want such heaviness in bonds .

our max budget was set based on portfolio value may 1st since we are already drawing down while working part time

Good luck, you are early in the game. Hopefully your first seven years will be above trend.

[jrkliny]

I think the day traders and idiot investors are going to torment us for the next several months. If the economy looks better they get afraid that the Fed will raise rates. If the economy shows its weaknesses, then they also react. Eventually this will pass but we could have a slow bumpy year.

[mathjak107]

bigger issue is gdp is starting to stink . as low as they projected at just 1% it came in far lower at .20%.

[TuborgP]

Originally Posted by mathjak107

bigger issue is gdp is starting to stink . as low as they projected at just 1% it came in far lower at .20%.

Super strong dollar and low oil cost not as wonderful as advertised.

[BeerGeek40]

Originally Posted by snowtired14

i still don't get why people think they are somehow saving money by paying a mortgage, i don't care what the interest rate is. You can only deduct the interest that you pay the bank, so if you're at that 50/50 p/i point, the bank gets 50% and 50% goes to the principle. If your payment is $1000/month:

Interest is $500/mo. X 12 mos.= $6000/yr

federal taxes (filing jointly) on an income of $50k= about $3488

federal taxes (filing jointly) on an income of $44k= about $2588 (taking the mortgage interest off the top)

the difference is only $900, you're spending $6000 to get a $900 benefit?????? If you can get that weight off your back, get rid of the monthly payment to the bank and start paying yourself that $1k/month!

amen!!!!!!!!