My Distribution and Bucket Strategy
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- Опубліковано 9 чер 2024
- Disclaimer: This channel is for entertainment purposes only. I have no knowledge or special learning in any thing. The best thing you can do is consider anything I might say or do as wrong until proven otherwise. Get professional help for any financial, insurance, taxes or anything else for retirement.
Steve, you have good o’le boy common sense!
I don’t have enough money for a bucket strategy, I have a “thimble” strategy!! 😂😂
"Thimbles" I like that.😂 Started out that way myself. I have buckets now. Not big ones, but buckets none the less. About like the bucket those citronella candles come in.😁 Should be plenty for us. Thanks and take care. Steve
I don’t think withdrawing 11 or 12% annually is good ole boy common sense.
Steve, I retired last Thursday. Been following you before you retired. Woo😢, I am so happy. Hope you and your family have a great day
Congratulations!!! 🎊🍾🎈🎉
Congrats!!!!
Congratulations !
Congratulations 🎉
Steve we the audience are “not qualified” to “listen.” Hee hee.
We just love you and the simple life of Steve and the babe in retirement.
That's good to hear because that's all I know anything about. Only after the baby tells me of course.😁 Take care. Steve
Howdy Steve. We subscribe because your talks are very enjoyable & we appreciate you sharing. God bless. 👍🇺🇸
Howdo Boss. I enjoy making a video or two a week. Just something to do and have a little fun with in retirement. I appreciate you hanging out on the corner. Thanks and take care. Steve
"I pull out what I need to" LOL Great line Steve!
Percentages don't really bother me much. As long as I can get what I need to live on and it lasts through retirement I don't really care what percent it works out to be. It's a lot higher now than it will be once I start SS. Shouldn't be anything once that starts. Everything kind of evens out. Take care. Steve
You are my hero, Steve! May God continue to Bless you and your family!
Just doing the best we can and loving retirement. Turns out it's not near as scary or impossible like all the horror stories out there. Blessings to you and yours also. Take care and thanks. Steve
Thanks Steve, I too am shooting for a simple common sense approach to this retirement game. Keep up the good work. Have a good week.
Simple and easy works for us. Makes for a stress free, enjoyable retirement. Little to no work or worry involved. Thanks and take care. Steve
Hi Steve 👋 we officially sent off the hubby's pension paperwork today. Fingers crossed 🤞
Good luck, paperwork is brutal 😂
Fantastic!! The paper work can be a hassle. We had to get stuff notarized, make copies and spent plenty of time on the phone. Well worth the trouble. Congratulations you're one step closer. Before you know it you'll both be enjoying your time together.🥳👏 All the best to you both. Take care. Steve
That's what I do I watch the birds in my garden, I love it.
Building that bird feeder station was one idea I had that has worked out great. I take a few minutes a couple times a day and just sit back and enjoy all the happenings around it. We can also see it from the kitchen windows and door. Really nice. Take care. Steve
Love your honesty! We are all doing the best we can. Thanks for sharing and being transparent.
Exactly! We are all doing the best we can in our each individual situation. About all any of us can. Learning, adjusting and rolling with whatever life throws at us is real retirement life. Of course having a good time doing it doesn't hurt. Thanks. Steve
Don't know how I got "unsubscribed", but I got it back today, lol. Great channel and observations Steve. Distributions % are misleading. Early on they will be higher but after pension and SS income they will drop off a lot to just a little or even nothing to live on. I think what you're doing makes a lot of sense.
That's right. Just the way they figure things. Come SS things start heading back north. We're setup good and comfortable with how things are. Thanks. Steve
I was looking at the bucket thing but then Heritage Wealth (Josh) talked about what it sounds like you are doing and what I already had going on. I have 3-4 years of cash and investments split 55/45 stocks to bonds and rebalance every year. I really hated rebalancing this year when stocks were doing so well but I was at 63% stocks and it had to be done.
I think it's more of a barbell than buckets. One weight on each side. They pull equally from both sides so every Feb. I have to move things from one side to the other. After next year I'll be able to do it however the market dictates. Works great for us. Take care. Steve
Thanks for sharing your wisdom and thoughts. Consider looking at the camera, audience is there.
I try but it just doesn't seem to happen. My problem is I'm just thinking my way through the video. No script or any idea of what I'm going to say. Just whatever I'm dealing with or thinking at the time. I'm really just talking to myself and trying to figure things out. Just a hobby I started for retirement and never for a moment thought anybody would watch. It's a fun little retirement hobby and it helps me figure things out. Take care and thanks for watching. Steve
We're happy that you can make it work within the rules of your retirement plan, Steve! 😀
Us also. It ain't perfect but we make it work. Thanks. Steve
Really to me there's 2 major things. Get out of debt and live below your means. Once you do these 2 things the math becomes pretty easy.
Totally!! No debt and low expenses makes retirement easy financially. Simple math. The less you need to service your life and debt the less you need to have saved. Also a lot easier to come up with 2K/month than 4,5 or more. Thanks. Steve
Thanks, Steve. It’s really helpful to hear how others do retirement.
It did for me also. Every different prospective I got kind of gave me an idea of what retirement would be like and how others did things. Helped me tremendously. Still does. Take care. Steve
New sub steve can't wait to hear the cow bell great video
Just give me a shout when you go and the bell will be ringing. Just a fun little video for the new retirees. Thanks for subscribing. Take care. Steve
Good man Steve, if it works, then don’t change it. Moving stuff monthly stresses me out. You’ve got it sussed 👌🏻
Don't fix what ain't broke. We can always change things if we need to later plus starting next year at 59.5 I'll have more options. Works great for the time being so we're happy with it. Thanks and take care. Steve
😀Thanks for being you Steve, keep it up we like your honest to God vids. I finished those garden boxes (3) last week, got logs in bottom and good soil and thru a bunch vegetable starts in them and man they are all loving it, thanks a lot for your simple design........
Fantastic! Hope it works for you and you like them. I love my setup. Plenty of space for what little we grow and if we ever need more I can add another box. The ease of use is great also. No weeding, bending stooping or sitting on a bucket to pick either. Take care, enjoy and happy gardening. Steve
I do not have buckets. I just try not to touch my retirement accounts. I too did not do the traditional route. I built wealth and now I am getting debt free.
Sounds like you’re doing it right! Of course allowing your tax-deferred accounts to grow will eventually mean higher RMDs in the future. I’m sure you’ve considered that.
There really ain't no rules for retirement. Everybody is just trying to do what works best for themselves. You've had a remarkable life and your retirement reflects that. The only way I could retire was to spend my retirement accounts. But we're fine with it. Besides that's the whole reason I have them in the first place. To spend when I no longer could or wanted to work for a living. Thanks and take care. Steve
Keep it simple brother.
Every time I try to make a change to mine I end up losing money.
Same here. It cost me one way or the other every time. Thanks. Steve
Keep doing you! Well done
Ain't really much to it but it works for us. That's what counts anyway. Thanks and take care. Steve
Steve I agree with the simple approach too, so many out there that are over complicating things just to keep funds under their management, telling people they need millions and to keep working and saving so the investment portfolio is producing generous fees all while the ‘client’ could have had those addition working years as golden years
Simple works but it's not flashy or fast. Slow and steady. It doesn't really need to be much more than that. I guess it might depend on individual situation but if you're an "Average Steve" it might be all you need. Some might need a million or more but the majority of the retirees I know ain't even close. I can't be for sure but they seem to be making out just fine and are happy. Just my thoughts anyway. Thanks. Steve
I like your style
Thanks Edward. Just me being me. Not any more complicated than what you see on here. Living life and loving retirement our way. Take care. Steve
2:10 I'm not here to listen to anything you have to say. But keep saying it anyway! 😜
I'm here to get in line for the "Steve's Retirement Corner" T-shirt giveaway.
Keep up the good work Steve, keep us on our toes.
The baby is tight with a dollar but I'm working on her and cooking something up. Like everything else just something a little fun. I'll keep saying it mainly because the wife and kids don't want to hear it anymore.😂 Take care. Steve
Sounds good Steve, you’ve got your system down to where it works for you. Mine is pretty much the bucket system you talked about, I draw what we need off of that as well. Seems to be working for us just fine. Our advisor takes care of everything, taxes and IRA. Take care. Robert
It's a simple system really and it works for us as well. A lot of people get hung up on a specific percent. Just didn't work in our situation. Take care. Steve
Sounds like you're working within the bounds of your plan's rules. Can't get much more simple. Thanks Steve!
Pretty much why I say that the first few years of my retirement are dictated to me. I don't have much real control or options. Turns out their rules work perfect for us. Able to enjoy retirement now and protects our later years if we make it. Cuts our RMD's, stabilizes or reduces our tax, and automatically grows a little more conservative as we age. Once again we got lucky. Thanks and take care. Steve
My plan is once a year but only if I’ve made money. If I’m down then I won’t take any. Just another year I’ll have to live off my cash.
Hi Steve. Enjoy the rest of your day.
I sure did. Had a great week also. Hope you did as well. Take care. Steve
Sounds like a good plan Steve, and similar to the way I handle it too. Although I do look at bonds and cash separately. My plan is to maintain somewhere around two years of living expenses in cash (including CDs and T-Bills if I’m holding them), four or five years in bonds and the rest in equities. For me that works out to roughly a 70%/30% stock to cash/bond allocation. I’m comfortable with that. You’re right, simpler is better. I invest in broad-market low cost index funds and leave the stock picking to those who have the time and resources to roll the dice. Take care!
That sounds great. I'm currently thinking about my moves for next year when I roll it over. Would be a great possible option for us. The percentages I don't worry too much about. It's the cash in the bank that I like, whatever the percentages work out to be. Couple years in the bank, a couple in bonds the rest in index funds would work great. Covers down years yet still captures up years with the bonds for a longer recovery. Pretty much how it works out now but I'm a little heavy on the bank and bonds. Realize now that I didn't need to be. Still have about a year but I'm thinking on it. Thanks. Steve
@@retirementcorner I agree, I don’t worry too much about the percentages but just kinda back into them after considering years of expenses. That said, I prefer not to be more than 70% in stocks…just a personal comfort factor for me. Take care.
Interesting taking distributions yearly. I basically just use my emergency fund as one bucket the use my 60/40 in my IRA as the other 2 buckets. I haven’t yet determined when to take SS, have a great day Steve
Right now you could say I'm doing the same basically. Living off of my 401k at 60/40 split any money in the bank could be for emergencies. Once I can roll it over It will be just investments in the IRA and money in the bank. 2 buckets. Our plan for SS right now is Me at 68 and my wife at 67. We have a long time till then and things are subject to change. Take care. Steve
If I didn't live 700 miles away, I'd drop by for a glass of sweet tea under the gazebo.
That would be something. Sitting around under the gazebo drinking tea and telling stories. Maybe even fire up the grill. Good times. Take care. Steve
My bucket is a pogo stick.
Funny, Buzz LOL
I hear you. I keep checking my buckets for leaks. The level keeps dropping but I can't figure out how. Must be evaporation.😂 Take care. Steve
@@retirementcorner Get you some Flex seal and you'll be gold! Lol
I like your gazebo. Is it new. Looks good.
I believe this is the third Summer we've had it. Used a popup for a couple years before we bought this one. It's a nice little spot. Take care. Steve
🤘
Thanks. Steve
I’m really hoping everyone here has some physical gold and silver, coins of the realm, in your own possession. If everything you own is digits on a screen, it could be disastrous if the banks or stock market goes down. These are dangerous times.
Maybe…but if the poop hits the fan to that degree precious metals, while pretty to look at, won’t have any real utility. People will need trade-able skills, like hunting, gardening, etc. Total return for metals over the broad term, even those encompassing market downturns, underperform the market. Lastly, gold is easy to buy but hard to sell.
Gold is for storing excess. It’s how we store wealth when we have everything else. And yes, no matter how bad it has ever gotten, people needed it for money.
The way I figure things, if it gets that bad not having money will be the least of my concerns. Having a few gold/silver coins wouldn't make much of a difference. They sure are pretty to look at though and couldn't hurt to have a few. Take care. Steve
Looks like this year might end up the same as last, market is just driving. Common sense is a great approach.
Looking good so far this year for sure. Hard to make up such a big distribution percent every year though. Things get a lot easier once I can roll into an IRA next year. I can call the shots. When we start SS things make a complete 180 and start heading back up. Shouldn't need any distribution at that point. Here's hoping. Take care. Steve
@@retirementcorner we can imagine. We’ve seen most people take quarterly distributions and put it in a high yield savings account to earn a little extra while it’s in there. It’s tough when you are forced to take such a big distribution. Sounds like you have the IRA solution to manage going forward. Have a great weekend!
@@OurRetireEarlyJourney That's exactly what we're doing with the distribution. Goes into a money market for the interest. Once a month a certain amount gets transferred to our checking account for our spending. Turned a yearly distribution into a monthly check. At the end of the year what ain't spent is either reinvested or remains in a cash account of some kind. (CD's,bonds,savings account etc.) Steve
@@retirementcorner Perfect plan! You are making the money at least continue to earn for you. That adds a few extra dollars for some sweet tea. 😊
Steve, you’re living “high on the hog” Doc! 🤣
Your right about that. No longer eating pigs feet, we cook the whole ham now.😂 To us it sure feels like we are anyway. All that really matters anyway. Take care. Steve
Do you pull out gains every month or year?
didnt you watch the video????
I only get the one distribution but I can move money between funds anytime. I did take gains last year a couple times and about ready to take some this year. I shift the gains into my stable value fund. Pretty much anytime the market has a big run like it has so far this year I move some over. So far this year I've recovered just shy of half the distribution. Time to lock it in. It protects my gains and gives me some dry powder for investing when the market drops. Great question I hope this answered it. Take care. Steve
Just because you get that much in a distribution does not mean you have to spend it. If you don't spend it, then you just have more in a tax free account, and so it doesn't really matter. I would not worry about it.
Exactly!! Wasn't planned but works out great for us. Any that we don't use is either invested or remains in a cash state one way or the other. Not really concerned about it. It's just a shock once a year to see that much gone from my 401k overnight. They just deposit it into a money market. So it hasn't really gone anywhere. Take care. Steve
Steve I love watching your videos I am going to retire on the 29th of Jun 2024. You give me inspiration that everything will be just fine.
Congratulations!! Have some patience during the transition period. It takes a little effort and time to become comfortable with your new lifestyle. Some more than others. Once you do retirement can be fantastic. Congrats again and the bell will be ringing. Take care and enjoy. Steve
I didn't plan on taking out until 62. I retired at 51 in 2021. But the market was up and Chump taxes expires in 2025. With all my deduction, my taxable income is 0. So I withdraw up to that point. Put it into another bucket. So am withdrawing while it's tax free.
Good idea. Unfortunately I'm a small time player in retirement and don't have the setup you do. I had no choice but to take distributions if I wanted to retire. You've done well in your decisions and planning during your life and it's paying off big time for you in retirement. This decision is just further proof of that. Good for you. Keep it up. Thanks and take care. Steve