Retirement is when you are not financially bound to work anymore. You are your own boss and you decide how you will spend your time. From the day you opened your first bank account to the celebratory day of retirement, blood, sweat, and tears went in to your working, saving, and accumulating assets. Having the right plan for you leads to enjoying the right retirement for you.
The three principles that govern proper retirement planning:
- Principle 1: Never Draw Income From A Fluctuating Account
- Principle 2: Diversify Your Investments By Purpose, Not Just Risk
- Principle 3: Plan With A Distribution Plan, Not An Accumulation “Pie Chart” Plan
In transition from the accumulation phase to the distribution phase of your life, it is critical to follow the three main principles that govern proper retirement planning. When these rules are implemented correctly, you set yourself up for more transparency, more flexibility, and most of all, more income to be enjoyed throughout retirement. Many try and put a square peg in a round hole by investing as if they were in the accumulation phase and use toxic guidance like the 4% Rule to distribute assets. These manipulative strategies can significantly hurt you and your finances. With a general willingness to put in some work and follow the three principles that govern retirement planning, you too can enjoy A Safer Retirement™.