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Author: copypro Old School Fool Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 19026  
Subject: Withdrawal periods Date: 12/14/1999 10:45 AM
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I understand why you take one withdrawal per year for the sake of simplicity and reallocating investments. But wouldn't it be better (from an investment point of view) to take, say, quarterly withdrawals and leave more funds working in the portfolio?
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Author: TMFPixy Big gold star, 5000 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 813 of 19026
Subject: Re: Withdrawal periods Date: 12/14/1999 1:42 PM
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Copypro writes:

<<I understand why you take one withdrawal per year for the sake of simplicity and reallocating investments. But wouldn't it be better (from an investment point of view) to take, say, quarterly withdrawals and leave more funds working in the portfolio?>>

That would not be in concert with the Foolish Four strategy, which revolves on a specific anniversary date for trading. Also, just because the cash for the year is taken all at once, that doesn't mean it sits idle until it's used. It goes into interest paying vehicles until needed for expenses. These include interest paying checking accounts and short-term CDs. Thus, it continues to earn money while out of the IRA and until it's actually used.

Regards..Pixy

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Author: pauledst Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 950 of 19026
Subject: Re: Withdrawal periods Date: 12/17/1999 10:16 AM
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Copypro writes:

<<I understand why you take one withdrawal per year for the sake of simplicity and reallocating
investments........>>

Pixy writes:

< That would not be in concert with the Foolish Four strategy, which revolves on a specific anniversary date
for trading. Also, just because the cash for the year is taken all at once, that doesn't mean it sits idle until it's used. It goes into interest paying vehicles until needed for expenses. These include interest paying checking accounts and short-term CDs. Thus, it continues to earn money while out of the IRA and until it's actually used.

Pixy makes a good point. However consider the related money vehicles within your IRA. Most offer at least one form of Money Market as well as Treasuries and others. The MM can be drawn from at any time for "periodic" payments.
I've set mine up quarterly to coincide (appx) with quarterly federal income tax payments I make.
Works for me.

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