There is a lot of material out there on the interwebs about saving for retirement. Coverage of decumulation, however, and withdrawal strategies is much harder to find.
And the author discovered in today’s featured entry, sometimes you find yourself retired without having thought through the mechanics and strategy of withdrawals.
The goal is simple enough: build up enough passive income to offset all current expenses, and be able to continue to live our current lifestyle.
An equity glidepath can alleviate some of the negative effects of Sequence of Return Risk. But it shouldn’t come as a surprise that you will never completely eliminate the risk.
We still hold over 100 individual stocks. The plan is to leave our 100 individual stocks as is and avoid paying capital gains.
Our entire goal around our asset allocation is to remain flexible, and this is going to especially be so around our defensive positions for the next two years.