Should You Use The Systematic Withdrawal Approach To Retirement Income Planning?

Share Post: facebook Created with Sketch. twitter Created with Sketch. linkedin Created with Sketch. mail Created with Sketch. print Created with Sketch.

For many Americans, their financial planning goals can be broken down into two periods: saving for retirement and spending in retirement (if you’re up on your financial industry jargon, you might know these phases as accumulation and decumulation, respectively). While this is definitely an oversimplification of the complexities of saving for retirement, it helps identify the primary differentiating factor of these two distinct time periods in life. (Click here for an overview of retirement income spending strategies).

Saving for retirement is all about wealth accumulation. Spending in retirement is more about decumulation – spending down your assets and generating cash flow to meet goals and needs.

To create cash flow, you need to implement retirement income planning alongside saving for retirement, although they require distinctly different mindsets and strategies. Perhaps the most popular retirement income strategy financial advisors use to accomplish this goal is the systematic withdrawal approach. Let’s take a look at what this strategy is and how it works.

Full article on Forbes here

Share:
facebook Created with Sketch. twitter Created with Sketch. linkedin Created with Sketch. mail Created with Sketch. print Created with Sketch.
Share Post: facebook Created with Sketch. twitter Created with Sketch. linkedin Created with Sketch. mail Created with Sketch. print Created with Sketch.

RECENT POSTS

The Perfect Time to Invest Like Warren Buffett

Published by Rebecca Lake, US News & World Report Buying and holding harnesses a young investor’s greatest asset: time. Millennials are big on saving. According to Transamerica, 39 percent of millennials are funneling more than 10 percent of their salary into savings. But investin …

Here’s the ‘Problem’ Half of Retirees Now Face

While no one is going to throw a pity party, there is a growing “problem” half of retirees face. With retirement account balances at an all-time high, the percentage of Americans projected to be able to maintain their standard of living in retirement rose 2 percentage points fro …
1 2 3 11 12 13 14 15 26 27 28

Get in Touch

In just 15 minutes we can get to know your situation, then connect you with an advisor committed to helping you pursue true wealth.

Schedule a Consultation