This is a question without any right or wrong answer.
If 30% equity suits you, it suits you. But I would run some Monte Carlo projections to make sure I have enough to last the estimated time frame of my retirement.
The amount needed at age 85 will be much less than at 60.
If you have enough to go with 30% right out the gate, go with it. But I might suggest (and this is probably heresy according to Boglehead dogma) that you might let your equity stake pecentage rise over time if you have a desire to leave a legacy. That is, no re-balancing back to 30%.
My thinking is that if the market takes a nasty dive later on - even 50% or more - you will be okay in light of the fact that you have fewer years left.
If 30% equity suits you, it suits you. But I would run some Monte Carlo projections to make sure I have enough to last the estimated time frame of my retirement.
The amount needed at age 85 will be much less than at 60.
If you have enough to go with 30% right out the gate, go with it. But I might suggest (and this is probably heresy according to Boglehead dogma) that you might let your equity stake pecentage rise over time if you have a desire to leave a legacy. That is, no re-balancing back to 30%.
My thinking is that if the market takes a nasty dive later on - even 50% or more - you will be okay in light of the fact that you have fewer years left.
Statistics: Posted by Carol88888 — Thu Jan 02, 2025 11:31 am