Factoring DB pensions' commuted values into retirement calculations
Is it wrong for my spouse & I to consider the (roughly calculated) commuted values of our DB pensions (about 1.33 careers' worth between us) in establishing asset allocations for our remaining retirement funds? To be clear, we're not cashing them in, we just wonder about the accumulated career totals for calculation purposes.
We're both retiring this year (65 & 67), and our monthly expenses will be largely covered by the DBs + our OAS & CPP.
The CVs seem like a relatively large 'conservative, bond-like' component already accounted for. So, besides a HISA/laddered GICs for cash and downturn reserves, our thinking was TFSAs in equity-heavy ETFs like VEQT and RRSPs/RRIFs as more 50/50 ETFs. We can draw down the RRIFs beyond the gov't % minimums for odd expenditures and stuff any surplus into the TFSAs to avoid large registered fund tax hits in later years.
Thoughts?