Assuming:
- the pension is inflation adjusted
- planning till age 95 (her) and 90 (him)
- pension + Social Security drops $350/month after his death
- target legacy of $250,000
the online planner for TPAW gives the following spending outcomes:
![Image]()
They can spend $4,750 per month (57,120 per year) now. Median spending rises to $5,816 per month ($69,792) per year. If markets do poorly, at the 5th percentile, spending drops to $3,982 per month ($47,784) per year.
Median legacy is $218K.
Click on funding sources to see breakdown of funds from portfolio vs Social Security and pension:
![Image]()
Asset allocation starts at at 58/42 now and glides down to 41/59 by max of age 95 (her).
Rebalancing a stock-bond portfolio to target asset allocation should be fine. Bonds would ideally be TIPS to reduce inflation risk. I don't think a CD ladder will help.
Link to plan: https://tpawplanner.com/link?params=GLC ... rTgGjajN9D
- the pension is inflation adjusted
- planning till age 95 (her) and 90 (him)
- pension + Social Security drops $350/month after his death
- target legacy of $250,000
the online planner for TPAW gives the following spending outcomes:
They can spend $4,750 per month (57,120 per year) now. Median spending rises to $5,816 per month ($69,792) per year. If markets do poorly, at the 5th percentile, spending drops to $3,982 per month ($47,784) per year.
Median legacy is $218K.
Click on funding sources to see breakdown of funds from portfolio vs Social Security and pension:
Asset allocation starts at at 58/42 now and glides down to 41/59 by max of age 95 (her).
Rebalancing a stock-bond portfolio to target asset allocation should be fine. Bonds would ideally be TIPS to reduce inflation risk. I don't think a CD ladder will help.
Link to plan: https://tpawplanner.com/link?params=GLC ... rTgGjajN9D
Statistics: Posted by Ben Mathew — Fri Mar 22, 2024 12:51 pm — Replies 5 — Views 239