Hi everyone! I was talking to my mom (she's 66) about my progress towards retirement and she said that she just saved cash and would like to have it safely grow so she could leave an inheritance for me. Obviously inheriting some money would be nice but I want to make sure she's OK financially before anything else. I got started late to the whole investing/retirement thing so I'm still learning a lot and hat's why I'm here! I've learned a lot from reading this forum.
She has about $500K in cash in three bank accounts, gets something around $25K/year in social security, ~$10K from a part-time job she enjoys and has no debt. We looked at her yearly expenses and it's about $30-32K/year, but she's planning on quitting her part-time job in 3-4 years to start volunteering more. She said she wants to invest all but about $50K so she can have some money immediately available.
I was looking at the Vanguard funds and these were the ones that I thought might potentially work for her:
- Retirement 2015 (VTXVX)
- Retirement 2020 (VTWNX)
- LifeStrategy Income Fund (VASIX)
- LifeStrategy Conservative Growth Fund (VSCGX)
- Balanced Index Fund Admiral (VBIAX)
Since she's not going to be withdrawing for 3-4 more years and when she is it won't be a lot of money would it be smart to do a mixture of different stock/bond ratios? For example, putting 1/3 of it in a 60/40 fund like VBIAX and the other 2/3 in a more conservative fund that is 20/80 like VASIX? Vanguard has so many options that it's hard to know which one is better than the other!
Submitted August 18, 2020 at 07:42PM by crazfunk https://ift.tt/315ENLU
