Personal Investments • Exchange VUSXX (Treasury MMF) for Mix of Treasury Funds in Taxable?

...My long term plan is to sell equities from taxable before touching the cash in VUSXX. This will depend on what my asset allocation is. I plan to fund the other MMF (VMFXX) with equity sales from VTSAX every six months, and then set up a monthly auto withdrawal to my checking account from VMFXX to create a monthly "paycheck" to myself. Then every six months I will assess my asset allocation. If I am overweighted in equities, I will continue to sell VTSAX, and send monthly "paychecks" to my checking account from VMFXX. If equities are down and I am underweighted in equities, I will still sell VTSAX and then sell bonds and buy stocks in my 401K to get my asset allocation back in line. Or, I can sell VUSXX in taxable rather than VTSAX to achieve the same rebalancing. I am considering VUSXX as fixed income in my asset allocation (along with my bond fund in 401K). I have enough VTSAX in my taxable to last me until my pension hits in 13 years, which will further reduce my withdrawal rate to prolong the life of my taxable account.

Statistics: Posted by MikeG62 — Sat May 16, 2026 6:47 am — Replies 8 — Views 673