It is not clear whether you will be investing in a tax-deferred account or a taxable account.
There are two considerations:
1) You are talking about maximizing the Roth IRA for your partner. As a general rule, I am severely allergic to placing any non-stock funds in a Roth IRA. Given that the entire deal of a Roth account is tax free growth, why would you want to choke off that growth using low-return investments like bonds?
2) Your time horizon, 5 to 10 years, is too small. For money that you need within this window, the best bet is to actually put it in CDs or money markets that won't lose value. Since your partner is already 59, and will be older than 59.5 when the planned withdrawal of money takes place, consider MYGAs (Multi-Year Guaranteed Annuities). They are offered by insurance companies, I'd suggest not investing more than $250k, and also using an insurance company that is rated at least "A" or better.
See below link for some rates (I took a random shot at choosing Missouri as the state, but USUALLY that does not make a difference, it is just a question of whether the insurance company is allowed to do business in that particular state; and A rated or better companies usually do business in all 50 states, at least the continental 48).
https://www.blueprintincome.com/fixed-a ... 0&state=MO
There are two considerations:
1) You are talking about maximizing the Roth IRA for your partner. As a general rule, I am severely allergic to placing any non-stock funds in a Roth IRA. Given that the entire deal of a Roth account is tax free growth, why would you want to choke off that growth using low-return investments like bonds?
2) Your time horizon, 5 to 10 years, is too small. For money that you need within this window, the best bet is to actually put it in CDs or money markets that won't lose value. Since your partner is already 59, and will be older than 59.5 when the planned withdrawal of money takes place, consider MYGAs (Multi-Year Guaranteed Annuities). They are offered by insurance companies, I'd suggest not investing more than $250k, and also using an insurance company that is rated at least "A" or better.
See below link for some rates (I took a random shot at choosing Missouri as the state, but USUALLY that does not make a difference, it is just a question of whether the insurance company is allowed to do business in that particular state; and A rated or better companies usually do business in all 50 states, at least the continental 48).
https://www.blueprintincome.com/fixed-a ... 0&state=MO
Statistics: Posted by lakpr — Wed May 08, 2024 7:59 am — Replies 2 — Views 373
