I have way too much of my money in fixed interest accounts and want to gradually move some of it to equity funds.
Here is my situation:
I'll be 62 in a month and have just become "semi-retired" as I plan to work about 30 hours a month (Emergency Nurse, so will just pick up a few shifts) This will be enough to earn about $15,000 per year which is what social security allows without losing benefits. My monthy income includes social security at $1866/month and a tax free annuity at $1418/month. My monthly budget is $3100/month which includes $600/month for travel so my monthly expenses are covered without using my investments.
I have a paid for house worth about $210,000 (paid $250,000 in 2007, ugh) and a paid for 2008 Camry Hybrid. I have no debt of any kind.
My other assets amount to about $127,000 as follows:
$70,000 in a savings acct at 0.30% (I know, I know)
$41,000 in my 403b - all in fixed interest at 3%
$7,850 in individual equities
$2,150 in USAA precious metals fund
And for the good news, I just opened a Vanguard Acct with
$3,000 in Total Stock Market Index Fund and
$3,000 in REIT Index Fund.
I am too cautious to move alot into index funds at once (expecially with the market at a high) but am considering moving $2000/month over the next 3 years or so. I like the idea of dollar cost averaging or value averaging. I also have access to some Vanguard Funds in my 403b and can still contribute to that. I wish I had known about sites like this sooner, but I guess late is better than never.
I ran things through Firecalc and even at my age it still looks like 75% equities is the best option. With my family's longevity, I could likely live to my 90's.
I would appreciate hearing your thoughts.