So, I have basically 3 "buckets" of money - two rental houses and a 401(k). My FIRE plan was always sell one house at 50 years old, live for ten years on the proceeds plus the rent from the second rental house. Then at 60 tap either the second rental house or the 401(k), and repeat at 70 with the last bucket - all this should, hopefully, outlast me :)
I just turned 50 and executed step #1 - I sold a rental (no face punches for having to pay cap. gains - its painful enough as it is!) I will clear $300,000. This money needs to last 10 years, although it will be supplemented with about $1200 a month after taxes and expenses from the rental I kept.
So my dilemma is where to put $300,000 to make it last while I slowly draw it down? CD ladder? Treasury Bonds? Stock market? I can't afford to lose much principle since I'll just be meeting my monthly expenses so the stock market scares me .... Any ideas are very welcome! My husband is still working and so taxes are a concern because he drags me into a higher tax bracket even though we do not share finances....
Thanks all!!!!!!