$Cash$

[steelpony10]

         If our personal inflation rate is say 3% and I increase our cash 5% a year along with SS raises am I losing purchasing power long term?
 
          Done is done at this point as I see it. All our concerns and a few surprises along the way can be handled and income can be tweaked upwards any time. Other then heirs or dying with more net worth what’s the point?

[steadyeddy]

steelpony10, good message and good sentiment.

[steelpony10]

Mar 21, 2022 2:16:04 GMT steadyeddy said:

steelpony10 , good message and good sentiment.

         Yah, It sounded to easy. Every time we have market swoons I think why make investment holdings even larger especially equities. This isn’t even a real bad period. That 100-your age in equities has merit. Time to slowly tilt towards bonds and cash for me.

[steadyeddy]

Mar 21, 2022 11:51:26 GMT steelpony10 said:

Mar 21, 2022 2:16:04 GMT steadyeddy said:

steelpony10 , good message and good sentiment.

         Yah, It sounded to easy. Every time we have market swoons I think why make investment holdings even larger especially equities. This isn’t even a real bad period. That 100-your age in equities has merit. Time to slowly tilt towards bonds and cash for me.

steelpony10, I like your profile pic/moniker.😜

[Chahta]

Mar 21, 2022 11:51:26 GMT steelpony10 said:

Mar 21, 2022 2:16:04 GMT steadyeddy said:

steelpony10 , good message and good sentiment.

         Yah, It sounded to easy. Every time we have market swoons I think why make investment holdings even larger especially equities. This isn’t even a real bad period. That 100-your age in equities has merit. Time to slowly tilt towards bonds and cash for me.

Bonds = CEFs and cash losing 7% per year? No one knows where inflation is going.

[steelpony10]

Chahta ,

        Well we have 8-9% CEF’s whose income projects to age 90 at a 3.5% inflation rate, above the stagflation high of 7.93% from 1970-1979. SS pays 2% of that at least so overkill. I’m done until I need more income for a planned move and a more expensive lifestyle or all in for LTC. So we’ll stick with a muni, CEF’s and cash eventually. I had my Mom at equal amounts CEF’s, a muni and cash after age 90. We just weren’t able to sustain the 120k per year for long term care past 2.5 years. Too little too late. A flaw I’m trying to (over)correct. Meanwhile playing the odds we’re pretty free to spend within reason, a side benefit I didn’t think about at the time. We just use mainly VTI(VTSAX) like the muni, spare cash for whatever.
 
         I mentioned cash because I was thinking of another (4th) section that can build slowly. Sticking my wife with a large equity holding and maybe a future 30% drop in value isn’t for retired neophytes or even me anymore. I’ve decided it’s time to back off the equity position I have slowly and to build up the muni and some cash at this point, take never ending bad news out of the picture. I’ll leave enough equity to convert to CEF’s if ever needed for LTC and stop there. No more CEF’s unless there’s a super sale or equity investments (for growth?) for now just cash and the muni.