dogagility wrote: Sat Oct 25, 2025 6:10 am
Hi and welcome to the forum.Some thoughts below.
With over 1MM in your taxable account, you don’t need a separate emergency fund mental bucket. This just adds complexity. Good point
Property 2 (rental – $600k) – Mortgage = $320k @ 2.75%Property 3 (rental – $400k) Paid off
If being a landlord is not onerous for you, rental property can be a beneficial diversifier. If not, then sell. Increased diversification is how I have looked at it and it has been manageable thus far, but I may need to rethink it long term
Desired Asset allocation: 60% stocks / 40% bonds? (looking for advice on ratio and how to get there)Desired International allocation: 30% of stocks? (looking for advice)
Since the global equity market is about 35% non-US, allocating 30% to international is appropriate.
For a look at how your stock/fixed income asset allocation choice can affect your spending potential throughout retirement (which is the most important consideration), use this free, simple, powerful tool: https://tpawplanner.com/ Thank you very much for pointing me to thsi site. It’s really well done and very helpful!
Here is how to select an asset allocation using the tool:
- Enter your age, wealth, and legacy goal information into the planner.
- As you move the Risk Tolerance and Spending Tilt sliders, look at the Monthly Spending During Retirement graph. This graph shows a Monte Carlo analysis of the range of spending throughout retirement that your financial situation could support. The 50th percentile values are if the market behaves as expected. The 95th percentile is if market returns are extremely favorable. The 5th percentile is if market returns are extremely poor.
- When you arrive at a spending pattern to your liking, the suggested asset allocation to achieve that spending pattern is shown in the Tasks window. Current and future suggested asset allocations are shown in the Asset Allocation graph. This graph is also a Monte Carlo analysis.
His Traditional 401K 1 at Merrill Lynch49.01% Russell 3000 Index Fund ? (0.02%)
His Traditional 401(K) 2 at Fidelity – Active plan allows for lump sum withdrawal after 55 and also allows roll-ins of both prior workplace plans, and conduit IRA funds
8.17% Fidelity 500 Index Fund FXAIX (0.02%)
His Traditional 401K 3 at Fidelity
2.44% State Street S&P 500® Index Fund Class II ? (0.01%)
His 401(a) at TIAA-CREF
0.03% CREF Core Bond Account;R1 QCBMIX (0.23%)
0.16% CREF Equity Index Accoun;R1 QCEQIX (0.17%)
0.21% CREF Global Equity Account;R1 QCGLIX (0.24%)
0.39% CREF Growth Account;R1 QCGRIX (0.21%)
0.05% CREF Social Choice Account;R1 QCSCIX (0.22%)
0.18% CREF Stock Account;R1 QCSTIX (0.26%)
As others have suggested, roll all of these plans into his Fidelity 401k. working on it
Allocate money in this 401k across these three funds. Agreed, thanks for the suggestion
FID 500 INDEX (FXAIX) (0.015%)
FID INTL INDEX (FSPSX) (0.035%)
FID US BOND IDX (FXNAX) (0.025%)
His Rollover IRA at Fidelity4.29% Fidelity ZERO Total Market Index Fund FZROX (0.00%)
His ROTH IRA at Fidelity
0.27% Fidelity ZERO Total Market Index Fund FZROX (0.00%)
0.01% Fidelity Government Money Market Fund SPAXX (0.42%)
0.87% Fidelity International Index Fund FSPSX (0.04%)
The money market fund just adds complexity. Invest this into one of the equity index funds. THis will be taken care of once the pre-tax accounts have been consolidated with the proper asset allocation
Her TDA PLAN at TIAA-CREF0.89% CREF Growth Account;R2 QCGRPX (0.25%)
0.26% TIAA Traditional Annuity —
Her FIXED CONTRIBUTION INVESTMENT PLAN at TIAA-CREF
0.79% CREF Growth Account;R2 QCGRPX (0.25%)
0.01% CREF Money Market Account;R2 QCMMPX (0.22%)
0.29% TIAA Traditional Annuity —
Her 401(k) Plan at Empower
0.81% BlackRock LifePath® Index 2040 K LIKKX (0.07%)
Her 457(b) Plan at Empower
0.81% BlackRock LifePath® Index 2040 K LIKKX (0.07%)
Her Traditional 401K at Human Interest – Active plan
0.04% Vanguard Real Estate Index Fund;Admiral VGSLX (0.13%)
0.11% Vanguard Total Bond Market Index Fund;Admiral VBTLX (0.04%)
0.04% Vanguard Total International Bond Index Fund;Adm VTABX (0.10%)
0.16% Vanguard Total International Stock Index Fund;Adm VTIAX (0.09%)
0.23% Vanguard Total Stock Market Index Fund;Admiral VTSAX (0.04%)
Her Traditional 401K at The Standard
0.00% Avantis US Small Cap Value Fund;Instl AVUVX (0.25%)
0.01% Fidelity Emerging Markets Index Fund FPADX (0.08%)
0.00% Fidelity Inflation-Protected Bond Index Fund FIPDX (0.05%)
0.01% Fidelity Mid Cap Index Fund FSMDX (0.03%)
0.01% STD STABLE ASSET D USTREAS TBill Cst Mat Rate 3 Yr (0.10%)
0.01% State Street Aggregate Bond Index Fund;K SSFEX (0.03%)
0.03% State Street Equity 500 Index Mutual Fund Class K SSSYX (0.02%)
0.00% Vanguard Explorer Fund;Admiral VEXRX (0.33%)
0.00% Vanguard Small-Cap Index Fund;Admiral VSMAX (0.05%)
0.02% iShares MSCI EAFE Intl Index Fund;K BTMKX (0.05%)
If her active 401k plan accepts rollovers, roll all of these accounts into that her 401k. working on it
Use these funds in the 401k. Agreed, thanks for the suggestion!
Blackrock Russell 3000 Index (MG7283) (0.02%)
Blackrock MSCI ACWI ex-U.S. Index (WBRMAX) (0.055%)
Blackrock U.S. Debt Index (MG7282) (0.025%)
Her ROTH IRA at Fidelity0.41% Fidelity Freedom 2040 Fund FFFFX (0.66%)
0.50% Fidelity Government Cash Reserves FDRXX (0.37%)
0.01% Fidelity Government Money Market Fund SPAXX (0.42%)
In a Roth IRA, it is suggested to invest in equities. I would suggest investing in Fidelity’s Zero total market funds. FZROX for the US market, and FZILX for the International market. Done!
I don’t like Target date funds because I don’t control the asset allocation over time. That fund you are using is also a high-fee fund. Agreed
Her Rollover IRA at Fidelity0.11% Fidelity ZERO Total Market Index Fund FZROX (0.00%)
Fine.
Taxable10.51% Company Stock at Merrill Lynch (Total gain: ~300%)
5.00% Company stock at Fidelity (Total gain: ~500%)
It’s not recommended to invest in your company stock. At a minimum, turn off dividend reinvestment if the company distributes dividends.
If you receive company stock via RSUs or participating in an ESPP, sell immediately at vesting.
I think you should consider selling this stock to eliminate single company stock volatility when the gains are long-term gains. Good point, do you suggest selling gradually over the next few years, keeping in mind the tax impact? or is there a better strategy?
8.61% Fidelity Government Money Market Fund SPAXX (0.42%) at Fidelity4.25% Cash in HYSA (@ ~4%) (this is in addition to emergency fund)
If you want “cash” in your taxable account, I suggest simplifying and investing in a money market account at Fidelity. If you have at least 100K, you can get a slightly higher rate by investing is Fidelity’s FZDXX money market fund. I don’t necessarily want this much cash in my taxable account so will be investing a portion of this as part of reallocating my assets across my portfolio
2. Is it realistic to consider retiring some time in mid 2026? If so, any advice on asset allocation and withdrawal strategy?TPAWPlanner will give you an excellent view on whether or not you can retire in 2026 and support your desired spending throughout retirement. Thanks again for the link to this great tool!
Amoritization-based variable withdrawal strategies are better than fixed amount strategies. Variable strategies allow you to spend more of your money during retirement and not leave a large unspent balance.
Read the Learn section of the tpawplanner site.
Read this BH thread started by the planner’s developer: viewtopic.php?t=331368
Finally, keep in mind that you don’t need to mirror your desired asset allocation across all accounts. It’s your overall asset allocation across all accounts that matters. Money is fungible. Keep in mind the tax efficient fund placement strategy mentioned by others. Great point
Thank you very much for taking the time to review and some really good recommendations!
