Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.
If I/we did not need all of a year's monies at one time; the preference would be monthly for this house. The remaining monies would continue to (hopefully) earn dividends or a yield until withdrawn.
Sidenote: This house will likely be into the retirement phase within another year. Our pensions won't be large when combined; but we intend to do our best to not pull any IRA monies until the IRS age 70 1/2 requirement hits. Hopefully, we may also forgo drawing any SS until the maximum age.
We will, of course; have the normal monthly bills for stuff....food, utilities, taxes, etc. ; and one of the biggest concerns is future home maintenance, and replacing the autos within five years or so. The top concern, monetarily; is not yet Medicare age, and our employers do not provide a post retirement health plan. OUCH !
I will presume you have studied about withdraws and amounts; but I do have some decent articles stashed away somewhere on this pc which I will post links.
Check back here and I will edit this post with article links; hopefully this evening or Saturday.
Lastly, I have not noted your name here before. Being nosey and curious as to whether you have been a reader here or at FundAlarm, but had not posted before.
Catch I have been a reader of FundAlarm for a few years but don't recollect posting until today. Since FA closed I have been a firm MFO follower. I also don't plan on taking SS until 66, although I expect to retire @65. I receive a retirement check from the military and I will get one from the federal gov't when I retire. My wife also has a military retirement and will also have one from the federal gov't when she retires in about six years. No children, no parents. Mortgage is less than $1000 per month. Plus, I pay an additional $1000 per month on the principal. Both vehicles paid off. Very little credit card debt. The most recent funds purchased SteelPath MLP, RiverPark High Yield/Short Term and DoubleLine Bond fund. Starting to get into bonds and funds with yields, have enough stock funds from younger days. Hope this helps you to see where I'm coming from.
Note: My and my spouse's military retirements are not officer or senior NCO, we retired at a mid level rank, same for GS, not even mid level. Adequate for us.
We haven't needed to w/d much yet, but prefer lump sum at start of year if possible. (1) simplifies calculating that year's return on investments, if that's important to you, as your starting "base" should remain constant - though there's likely software to allow calculating return while making periodic withdrawals. (2) depends, but if you are sure the small amount will still keep you under having to make early (estimated) tax payments, than you're getting the $$ a full year + 3 months before having to pay tax on it.
One Caveat: Unless you're accustomed to maintaining a tight yearly household budget, temptation would be to use the funds prematurely and than end up withdrawing more than planned. Good luck & Season's Greetings.
Hank, after reviewing the linked articles Catch recommended I think I will start transferring some of my stock (IRA) fund money into income producing funds (also IRA). Hopefully, the income stream will preclude me from having to draw on the principal. Although Alaska is expensive I am not a four wheeler, motorcycle, boat and snow machine owner thus not having those upkeep expenses. More of a bookworm. Did most of my traveling while stationed in England for 10 years. Thanks for your suggestions. Merry Christmas and Happy New Year Hank and Catch.
You may want to get a copy of this book. I know Doug from another forum and he has put together a most execellent book for Military folks who are retiring:
Comments
If I/we did not need all of a year's monies at one time; the preference would be monthly for this house. The remaining monies would continue to (hopefully) earn dividends or a yield until withdrawn.
My 2 cents worth.
Regards,
Catch
sum but wanted another opinion.
Sidenote: This house will likely be into the retirement phase within another year.
Our pensions won't be large when combined; but we intend to do our best to not pull any IRA monies until the IRS age 70 1/2 requirement hits. Hopefully, we may also forgo drawing any SS until the maximum age.
We will, of course; have the normal monthly bills for stuff....food, utilities, taxes, etc. ; and one of the biggest concerns is future home maintenance, and replacing the autos within five years or so. The top concern, monetarily; is not yet Medicare age, and our employers do not provide a post retirement health plan. OUCH !
I will presume you have studied about withdraws and amounts; but I do have some decent articles stashed away somewhere on this pc which I will post links.
Check back here and I will edit this post with article links; hopefully this evening or Saturday.
these links are just some info to chew upon
http://online.barrons.com/article/SB50001424052748703438504577042394189481000.html#printMode
http://seekingalpha.com/article/309386-time-to-throw-away-the-4-withdrawal-rule-for-retirement
http://seekingalpha.com/article/309115-retirement-scenarios-the-good-the-bad-and-the-ugly
http://www.forbes.com/sites/rickferri/2011/11/21/withdrawal-rates-drop-as-fees-rise/
http://www.burnsidenews.com/Opinion/Columns/2011-11-14/article-2804370/The-new-retirement-and-effects-of-market-risk/1
http://www.prnewswire.com/news-releases/americans-in-the-dark-about-the-real-cost-of-retirement-131508253.html
http://seekingalpha.com/article/298138-rewriting-the-4-rule
Lastly, I have not noted your name here before. Being nosey and curious as to whether you have been a reader here or at FundAlarm, but had not posted before.
Take care,
Catch
I have been a reader of FundAlarm for a few years but don't recollect posting until today. Since FA closed I have been a firm MFO follower. I also don't plan on taking SS until 66, although I expect to retire @65. I receive a retirement check from the military and I will get one from the federal gov't when I retire. My wife also has a military retirement and will also have one from the federal gov't when she retires in about six years. No children, no parents. Mortgage is less than $1000 per month. Plus, I pay an additional $1000 per month on the principal. Both vehicles paid off. Very little credit card debt. The most recent funds purchased SteelPath MLP, RiverPark High Yield/Short Term and DoubleLine Bond fund. Starting to get into bonds and funds with yields, have enough stock funds from younger days. Hope this helps you to see where I'm coming from.
One Caveat: Unless you're accustomed to maintaining a tight yearly household budget, temptation would be to use the funds prematurely and than end up withdrawing more than planned. Good luck & Season's Greetings.
You may want to get a copy of this book. I know Doug from another forum and he has put together a most execellent book for Military folks who are retiring:
http://www.amazon.com/Military-Financial-Independence-Retirement-ebook/dp/B005AU15EU
You can even order it through this site, and MFO will receive credit for your purchase.