Skip to main content
No. of Recommendations: 0
I am with TwoC on this one. The greater risk, in general, is the money not growing enough as opposed to the money losing. With 1.3m, that may not be an issue for you but it is critical (as another poster indicated) that you determine how much you need each year and that should determine how much risk you should take to achieve such. If you only need 30k a year, simply ladder some CDs and forget about it. IF you need 60k a year, you might need to consider some bonds and other income generating investments. Inflation and income taxes are an extremely important consideration here as well.

The first step, IMO, is to determine just how much you will need in after-tax income from those dollars. I am assuming that 1.3mil is in a taxable money market account and not an IRA MMA.

Second step, IMO, would be to determine if you are ok with passing none of those dollars to a beneficiary or if you want to leave any inheritance.

Keep us updated!
Print the post  

Announcements

The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
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.