Buy Low. Sell High. Three Buckets. One Clear Framework.

If you needed a substantial sum next month, would you already know where it would come from?

A large portfolio does not automatically answer that question. Emergency reserves, upcoming purchases, and longer-term investments each have different jobs.

A vehicle needs replacing. A roof needs repairing. An unexpected expense arrives. If markets are down, obtaining the money could mean selling investments at a time you would rather leave them alone.

At Jackson Wealth Management, our Chart Your Course™ process connects the purpose of your money with when you expect to need it.

The framework applies at every life stage. Think of it as three buckets within your investment portfolio.

We generally begin with three to six months of your average monthly spending, then adjust for your circumstances.

Include routine bills, dining out, entertainment, and travel. Spread expenses that occur once or twice a year across 12 months to estimate what you actually spend each month.

We can earmark a money market investment position inside your taxable investment/advisory account for these reserves, evaluating yield, liquidity, expenses, and relative stability.

The purpose is to provide a source of money for unexpected expenses without immediately turning to your stock investments.

List the larger purchases you anticipate within the next three years: a vehicle, roof, renovation, special trip, or other significant commitment.

For each purchase, estimate:

• Cost: how much you expect to spend.
• Timing: when payment is likely to be due.
• Flexibility: whether the amount or timing could change.

We can earmark appropriate fixed-income investment positions within the same account, considering principal stability, investment risks, and the spending timeline.

Keep your three-year radar active and tell us early when something new appears. Advance notice gives us more flexibility to take profits when appropriate, evaluate tax consequences, and reposition dollars before the invoice arrives.

Once emergency reserves and planned purchases are funded, additional dollars can be invested according to your longer-term goals and comfort with risk. We also coordinate these buckets with any regular portfolio withdrawals.

Investing can feel like a roller coaster. Some stretches are comfortable. Others require white-knuckling through the ups and downs.

Successful investing takes grit, resolve, and patience. Having near-term spending prepared gives that patience a practical foundation and can provide more flexibility to let longer-term assets ride through market fluctuations.

Patience still requires judgment. We continue to evaluate whether your investments fit your circumstances. Holding an investment longer does not guarantee that it will recover or produce a gain.

Three Buckets. One Account. CMA Access.

The buckets are planning categories, not separate accounts. One eligible taxable investment/advisory account can hold money market, fixed-income, and longer-term investment positions.

Adding cash management, or CMA, access provides convenient spending and transfer features:

• Checkwriting and a Visa debit card.
• ATM access and Apple Pay.
• Bill pay and electronic transfers.

There is no separate fee to add CMA access.

CMA provides access. Planning prepares the money you’ll spend. We want to arrange that funding in advance rather than have a payment create pressure to sell stocks during a downturn.

A Framework That Changes With Your Life

A growing family, a business owner, and someone living on retirement income may need different amounts in each bucket. The starting questions remain the same: What is this money for, and when might you need it?

Through Chart Your Course™, we:

• Determine how much to earmark for near-term needs.
• Evaluate which holdings fit the spending timeline.
• Coordinate funding with investment and tax decisions.
• Revisit the plan as purchases change or reserves are used.

We also consider whether you’re holding more cash than your needs justify. Excess cash has tradeoffs, including inflation and forgone growth opportunities.

This framework cannot prevent losses or guarantee that you’ll never sell during a down market. It can give you more choices about how to meet expenses when markets are difficult.