I’ll be selling my first home and moving to Montana in June, and will receive around 130K from the sale. This is my first time selling a home, and would like feedback on my plan for what to do with the money.
In a nutshell, I’d like to deposit all of the money into my tax-advantaged retirement accounts, but I’m wondering about the best way to do that. My draft plan is this: Live off of this 130K for living expenses for 3-4 years, while depositing my entire teacher’s salary into tax advantaged accounts like a 457, 403b, and IRA. My wife and I will probably buy a home within the next year, but want to rent for a while while we get out feet under us. My questions are these:
1. Any feedback on this plan? Do you have another suggestion?
2. For these 3-4 years while I’m slowly drawing down the 130K, should the money be invested in a taxed account, like VTSAX? I’m only 28, so would like to be aggressively tilted towards stock index funds, but am not sure if I should be more conservative since I’m living off of the money.