Do you daydream of a time when you don’t have to go to work every day? Are you worried that if you stop taking a paycheck you will not be able to sustain your lifestyle? Do you have concerns about the cost of medical care in retirement? Through our planning process, we work with clients to define their vision for their remaining decades, determine the resources required to achieve that vision, and help clients get comfortable with the idea of not receiving a steady paycheck. We factor in how Social Security’s solvency, increasing medical costs, and any changes in spending would impact the projected financial sustainability of an individual’s intended path.
One of the biggest financial decisions investors will face in retirement is “sourcing” cash flow when the company pay stub no longer appears at the end of the month. We will build an effective income plan that will also incorporate diversification*, drawing income from different sources such as social security, pensions when applicable, investment account distributions (dividends, interest, and capital gains), real estate or rental property income, etc. A diversified income strategy will provide a more reliable income stream through your retirement years.
*Diversification does not protect against loss of principal.