When many people retire, they have the financial and real assets they have accumulated during their working years, a Social Security benefit that can be accessed, sometimes a pension benefit, and a new watch. Their mission is to make sure that these assets provide the income they need for as long as they may need it. All while dealing with the surprises life can throw at them, market fluctuations, changing tax laws, and diminishing capabilities.
We help our clients get the most from their investment accounts without jeopardizing the sustainability of the accounts. We also recommend which assets to liquidate given the current state of the markets. Balancing current income needs with future needs can be difficult task and we serve as objective counselors for these decisions.
In addition to these considerations, the tax implications of how, when, and where retirees take money from are complex and subject to change. Even if the rules stay the same, your personal tax situation may change from year to year based on how much and what kind of income and deductions you have. We provide ongoing income tax planning to understand the tax implications of our choices before we make them and to minimize the overall impact of withdrawals over time.
One of the biggest retirement decisions to make is when to start drawing Social Security. We advise on this decision taking into account the other assets, your spending plan and tax consequences. For married couples, there may be strategies available to you that allow you to take advantage of spousal benefits without affecting your own benefit.