The saving phase produced an account balance. The spending phase requires an income plan — and they are different disciplines.
For decades, the paycheck arrived automatically. In retirement, someone has to decide where each month’s money comes from — and that decision has tax, investment, and longevity consequences that compound over time.
Which account you draw from first changes the lifetime tax bill materially. Conventional wisdom says taxable first, tax-deferred second, Roth last. In practice, the right sequence depends on your tax bracket now vs. later, Roth conversion opportunities, and where the tax code puts you at RMD age.
Under current rules, most owners of pretax retirement accounts must begin RMDs at age 73 (rising to 75 for those born in 1960 or later). Planning around the RMD age isn’t optional — it’s the tax event that shapes most of the strategy in the years before it hits.
An income plan that works only in average conditions isn’t a plan. We stress-test against extended market downturns early in retirement (sequence-of-returns risk), longevity beyond life expectancy, and inflation running higher than the plan assumed. Spending flexibility — the willingness to adjust the discretionary line in a bad year — is often more valuable than any allocation change.
The plan that works for two people needs to still work for one. Social Security drops to the higher of the two benefits. Tax filing shifts to single brackets. Some pensions reduce or end. The plan should reflect what happens in year one of widowhood — and year ten.
Thirty-minute conversation. We look at what you have, what you need, and whether the two connect. An introductory conversation does not create an advisory relationship.
Discuss Your Retirement Income Plan