Have money in the bank from sale of property and from sale of house.
Widow with approx. $800,000 sitting in the bank from recent sale of property and sale of former home. I have vanguard accounts…trust IRA, IRA, and a ROTH IRA. Where should I be putting the cash at this time.? I will be withdrawing approx $45,,000 in RMD from the IRA later this year.
Terry Says
So what’s the purpose of this money? Is it to make sure you don’t run out of money before you run out of time? In that case, and given current market conditions, I’d leave it in the bank — or perhaps take half and buy 6 month U.S. Treasury bills that automatically roll over at maturity into whatever the current rate is.
Here’s an article on how to do that: https://www.terrysavage.com/buy-treasury-bills-earn/
Of course, rates are lower now, but this article tells you how to buy them straight from the government. And auto renew them at maturity. And perhaps buy $100,000 each month, so you are staggering the maturities, until you have put $400,000 into Tbills.
