[USER]

Invest or Coast?
I’m 39, married with four kids, and we’re currently semi-FIRE. Our basic expenses are covered (just enough) by VA and SSDI benefits, and we run a few small side projects to pay for extras like travel and fun stuff for the kids.

Late last year, my brother and I sold our mom’s house and officially closed her estate (she passed away in 2021). I received $330k from the sale, which is currently sitting in two SoFi high-yield savings accounts earning 3.8%.

Some background:
We’re already invested in VTSAX—$220k in a solo 401(k) and $95k in a taxable brokerage. Both are down nearly 15% year-to-date, which has me second-guessing whether now is the right time to add more.

I’m a long-term, “set it and forget it” investor—not into day trading or crypto.

I’ve trusted VTSAX for over a decade and have been happy with its ~10% average return over the past 12 years. But emotionally, it’s been tough to commit this inheritance to the market.

Since the house sold in January, keeping the cash on the sidelines has meant avoiding a ~$47k loss and earning about $12k in interest—that’s a ~$60k swing.

My brother, who received a bit more and chose to invest right away, is already down nearly $50k.

So now I’m debating:
• Do I leave the funds in HYSAs a while longer and wait to see if the market stabilizes?

• Or should I stick to my usual approach, invest in VTSAX, and ride it out?

Also, what does “things stabilizing” or “leveling out” even mean in this environment—especially with the possibility of a new tariff war?

If you were in my shoes, sitting on this much liquidity, what would you personally do?

[Webber]

Have you settled on an Asset Allocation (equities vs non-equities ratio) that you can comfortably live with no matter what the market does?

Until you have settled on an AA that is appropriate for you it will be hard for you to make decisions on how, when and how much to invest.

[Damon]

You kinda asked around it but this sounds like more of an asset allocation question.

If you are about to FIRE would you want all your investable assets in equities?

I’d say probably not, and that has nothing to do with current market conditions.

[Rick]

My experience over a few decades…
You will not time the bottom. Not even close.
You will miss most of the snap backs.

Decent drawdowns are so often followed by fast snap back ups.

The bigger the drawdown usually the bigger the snap back. Not always at once.

Some times with half baked attempts. Meaning….you will not time the snaps backs either.

So, decide…which will bother you more…buying and seeing it fall more….or not buying and watching it rise a lot more.

[David]

If you have to ask yourself this, I would simply DCA that money slowly in the market. I am sitting on more cash than I should be and have started to slowly DCA it, taking advantage of this sale.

Remember, you are looking at things short term known as trying to time the market.

Sense you have the VA, I assume you and the family is covered for health care and perhaps even dental.

But remember, things could change, and VA could get lowered unless you have had it for 20 years, and SSDI can also go away.

I’m retired military, and my pension and VA are almost twice my expenses, but I still invest money even though I retired 2 years ago, because I would rather be extra safe just in case that VA ever gets decreased, though it is unlikely, not unheard of.

Personally, with about $320K in investable assets, I would want it invested, as it looks like neither of you is currently working.

So, this is a good way to increase your assets in case the worst happens.

[Peter]

You can always DCA back in over months or years. That’s probably what I would do, pick an amount to invest every month (10k?) and just DCA in.

Could always save some and keep an extra large emergency fund as well, maybe 50/50.

[Michele]

I would DCA into the market. However I’d also want to know what the long term plan is for the money. Kids get more expensive

[Author]

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