Message Font: Serif | Sans-Serif
 
No. of Recommendations: 1
I may be a bit late to the party here, but here's my take.

The lady has a total of $900,000, taking 4.5% = $40,500 + SS $22,000=$62,500.

Hopefully, her bonds are *not* in bond funds, if so she might want to rethink that which was explained in an earlier post.

She has 48% invested in equities, which I hope are dividend bearing equities which give her income. The amount of income her funds earn has not been explained. Taking $40,500 out of portfolio is fine, but I do think she should be getting some dividend/interest income from the portfolio. Does she need to have $100,000 in cash? It may give her comfort to have it. Comfort is very important.

I am not that much younger and do obsess about market fluctuations and how much I can spend, and I have somewhat more than the subject in question. It has been mentioned that to get a clear picture, one has to consider her situation -housing, medical and family. If she is like me, family and home expenses tend to have "needs". Medical expenses are forever increasing.

As far as comments that she *should* be able to live on $40,000, perhaps her expenses are higher.

If I didn't make sense, keep in mind my age......:)

Birgit
Print the post  

Announcements

When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement