this topic has been covered quite a bit, but some of my questions get at other issues... i welcome people's thoughts.
i've received a windfall of about $100k (no taxes).
single, no kids, 37yo
my situation before the windfall is this:
290k in assets, with an 80/20 AA. the bonds are all in my work 401(k) and a trad IRA. otherwise, stock index funds.
35k in taxable vanguard acct
35k in trad IRA vanguard
25k in roth vanguard
16k in TIAA-CREF annuity
180k in 401(K) fidelity
no debt
if i choose the logic of "invest the winfall in your taxable acct at your current AA," then i'd be holding bonds in my taxable account.
i don't want to move funds from my roth or trad ira into bonds (for purpose of rebalancing) because i plan to hold these a very very long time and want to keep these funds in equities.
so i could:
- rebalance my work 401(k) more heavily toward bonds and invest the windfall in stock index funds
- leave current assets allocated as they are. invest the windfall in stock index funds knowing it's a gamble.
- suck it up and hold bonds in my taxable accounts.
I'm saving about $40,000/year. Should have enough to FIRE at 50, even without the windfall, and don't have a goal of leaving work much sooner than that.
i've hesitated to post this because it feels like a silly question -- everyone's situation is different. But i feel a real tension between holding stocks in the funds i plan to tap into last (roth and IRA, which i plan to roll into my roth eventually), and putting bonds in my tax-advantaged accounts.