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    Bucket Strategy

    Senior retirement income.

    3 buckets

    • Bucket 1 — 1-2 yrs cash.
    • Bucket 2 — 3-7 yrs bonds.
    • Bucket 3 — 8+ yrs stocks.
    • Senior weather markets.
    • Refill from 3 → 2 → 1.
    • Strategy.

    Why senior need

    • Sequence of returns risk.
    • Bad early years devastate.
    • Senior bucket protects.
    • Sleep well at night.
    • Don't panic-sell.
    • Worth structure.

    Cash bucket

    • $50k-$100k typical.
    • High-yield savings.
    • 1-2 years expenses.
    • Senior emergency.
    • Marcus, Ally banks.
    • 4-5% APY.

    Bond bucket

    • Bond ladder.
    • Treasury, CDs.
    • Senior steady income.
    • 3-7 years.
    • Refills cash.
    • Predictable.

    Stock bucket

    • Index funds — VTI, VTSAX.
    • Senior 8+ years horizon.
    • Long-term growth.
    • Refills bonds.
    • Don't touch market drops.
    • Patience pays.

    Annual rebalance

    • Refill cash from bonds.
    • Refill bonds from stocks (good years).
    • Senior set + forget.
    • Schwab, Vanguard help.
    • Or fee-only advisor.
    • Worth structure.

    3-bucket = senior sleep well

    Senior 3-bucket strategy: cash 1-2 yrs + bonds 3-7 yrs + stocks 8+ yrs. Protects from sequence of returns risk. Don't panic-sell market drops — cash bucket sustains. Annual rebalance refills downstream. Most senior retirement income strategy. Sleep well.