safest plan

L1: safest planThe information on this site is great! I,ve taken to heart certain warnings here about being very careful when setting up a sepp and I have come to the following conclusion: For many people it would probably be wise,especially when using the amortization method to use a fixed income investment that one can know in advance what the return is. I realize the return could be lower than riskier investments but from what I have learned here this is an area not to take too many chances in. Is this logical to anyone else and if not what suggestions?- John2002-04-21 18:12, By: john Cook, IP: [127.0.0.1]
L2: safest planJohn, I think you have answered your own question through your definition of “safety”. However, I can think of several other safety definitions:1. Safe overall SEPP plan design meaning greater defensibility against the IRS who might attempt to disallow it.2. Program safety in terms of maintaining a level & reasonable standard of living.3. Safety in terms of (multiple) program flexibility in terms of being able to handle the unexpected.4, Safety in terms of portfolio sustainability, not just to age 59 1/2 but for life.I am sure there are some other measurements as well as yours that I am missing. However, as each taxpayer measures their plan(s) against these multiple safety measurements, I think different people are going to come up with different plan structures as well as investment strategies for the underlying assets.TheBadger2002-04-21 19:56, By: TheBadger, IP: [127.0.0.1]