Transitioning from saver to spender is challenging for many retirees. If you get stuck in savings mode during retirement, then you may miss out on valuable and enjoyable experiences like visiting your friends and family, traveling, learning a new skill, starting a new hobby, etc. The transition can be fearful as well because who’s not concerned that they’ll outlive their nest egg in retirement?
Recent U.S. Census Bureau reports indicate that the number of people living to age 100 will increase 10 times in 30 years. In order to live out a more safe, secure, and enjoyable life in retirement you will need to create a strategy focused on a variety of guaranteed income sources.
The name of the game in retirement is not running out of money. On the front end, that’s a function of how much you’re able to save. On the back end, it’s all about how you can set up your different savings accounts to minimize taxes and strategically withdraw from them in order to avoid unnecessary fees and penalties to help make your money last longer.