In this episode we answer emails from Tyson, Patrick, and Shuchi.  We discuss the basics of transitioning, SCHD as a value fund choice, bitcoin vs. gold, why "only works for 30 years" is a fake problem, the difference between our use of value funds vs. Paul Merriman's, and when would me make adjustments to our plans in retirement.

Links:

Bigger Pockets Money Podcast #1:  The Secret to a 5% Safe Withdrawal Rate | Frank Vasquez

Bigger Pockets Money Podcast #2:  We Built a 5% SWR Retirement Portfolio Using Fidelity in 48 Minutes (Golden Ratio Portfolio)

Morningstar Analysis of SCHD:  SCHD Stock - Schwab US Dividend Equity ETF | Morningstar

Golden Ratio Portfolio on Portfolio Charts:  Golden Ratio Portfolio – Portfolio Charts

Retirement Spending Calculator:  Retirement Spending – Portfolio Charts

Drawdowns Calculator:  Drawdowns – Portfolio Charts

Michael Batnick Critique of CAPE Ratio "Predictions":  Stocks Are More Expensive Than They Used to Be

Breathless AI-Bot Summary:

A plan that survives contact with the market looks different from the one you sketch on a napkin. We break down the 80 percent FI pivot—why shifting from an aggressive accumulation mix to a retirement-ready allocation a few years early can defuse sequence risk without surrendering growth—and show how to decide when to pull that lever without second-guessing every blip.

We also tackle one of the most popular questions right now: can Bitcoin replace gold? Short answer: not for core diversification. Gold’s role as a Basel III Tier 1 reserve asset and its central bank demand make it a unique stabilizer in a way that risk-on assets can’t duplicate. Bitcoin behaves more like a levered tech proxy, which is interesting for satellite bets but insufficient as an anchor. On equities, we explain why splitting the stock sleeve between growth and value—think a broad growth-leaning fund paired with a true value fund like SCHD—creates the performance dispersion that fuels rebalancing gains during stress, raising durability without betting on factor outperformance.

If the 30-year rule worries you, breathe. Withdrawal rates flatten as horizons extend, and real-world retiree inflation typically runs 1 to 2 percent below CPI, offsetting the longer timeline. Add simple guardrails—pausing raises, trimming discretionary spend in bad years—and you can boost sustainability by about a percentage point. The key is to know your portfolio’s historical drawdown depth and length, set bright lines for action, and avoid valuation-based fortune-telling. Diversification and disciplined rebalancing beat crystal balls.

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