Are you nervous about shifting from saving money to spending it in retirement? If so, you’re not alone. Today we’re sharing five things you need to know about decumulation, or the spending phase of your life.
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If you’re a natural-born saver, spending money can be really difficult, especially in retirement. On today’s show we’re sharing five things you should know about the spending phase of your life, also known as decumulation.
Lack of support
There is often a lack of support for people who are in the spending phase of their life. Some financial advisors solely focus on helping you grow your money but don’t give you much advice about how to spend it.
When your last paycheck comes in, that could create some fear and anxiety for you. You want to have the proper support as that day comes near. We can help you create a roadmap for the spending phase of your life.
Fear of spending is real
This is a really difficult one for a lot of people. They struggle to make the transition from saving to spending. If you have a tough time with this, you are not alone.
It doesn’t matter how much money you have, even in the millions, many people struggle with this. If you feel fearful, that means you don’t have a good plan or strategy in place. We can help you create a plan that helps you sleep at night.
Risks become more numerous
Once you’re in retirement, the risks become more numerous. You need to have a plan for Social Security and pensions, especially if your spouse passes away. Inflation risk is another thing to consider.
Listen to more of our conversation in the full podcast or use the timestamps below to jump to a specific section.
Use the timestamps below to jump to a specific section.
[1:58] – Good review on podcast
[4:44] – Lack of support
[9:18] – Fear of spending
[13:45] – Risks become more numerous
[17:26] – Taxes consequences
[20:42] – Leverage lifetime income
[23:06] – Mailbag: What to do with aunt’s house?
Thanks for checking out this episode. We’ll talk to you again soon.
“Shifting from saving for retirement to spending that money that you’ve worked so hard to save is a real difficult thing to do.”