Sentences with phrase «later in retirement»

These are a type of deferred annuity that will provide you with a regular income later in retirement.

So, from an income standpoint, it doesn't help to wait until later in a retirement account.

«One needs to think about where to live, how long to stay there, and whether to move later in retirement,» writes Wade Pfau, Ph.D., professor of retirement income at The American College, and contributor to Forbes.com.

Although it is not considered in detail in this paper, a DIA with a longer post-retirement deferral period can be seen as an insurance product that pays out a significant income per dollar invested later in retirement when a client is most at risk of outliving assets.

That will likely be years later in retirement, when most Canadians enter a lower tax bracket.

If you don't do so, delaying Social Security could leave you withdrawing from your other assets more quickly than you should, which could be a problem later in retirement.

This sequence of return risk means that a bear market near retirement increases the risk of outliving assets far more than a bear market later in retirement.

But can giving up some assets now for lifetime income later in retirement really increase your chances of not outliving your nest egg?

These tools provide a stream of guaranteed lifetime income payments for later in retirement, no matter what happens with the rest of your savings during the coming years.

This lets you become accustomed to a reduced workload and gives you time to develop hobbies or interests for later in your retirement.

The advantage of Roth IRA over a Traditional IRA is the tax - free withdrawals later in retirement.

To give yourself more room for maneuver, you could delay claiming Social Security until later in retirement — which, in any case, can be a smart thing to do.

But whatever your income, the surest way to reduce your chances of running into problems early or even later in retirement is to gauge whether you're financially ready to retire before you actually do so.

On the flip side, money you put into a traditional 401K account is not taxed before it goes in the account and you receive the benefit of a lower tax bill now (instead of later in retirement).

Plus you will have foregone the opportunity to potentially increase your spending power later in retirement by investing in higher earning, albeit more volatile, investments.

When using a traditional IRA, you contribute your dollars pre-tax, and you will pay taxes only when you withdraw later in retirement.

If you're downsizing later in retirement, the decision will probably be more strongly influenced by growing frailties.

Note that you would need to be prepared to put up with the lower expected return during those years, and you may find it emotionally unappealing to increase your equity exposure later in retirement.

If you take big losses in the first three years, as compared to the same losses later in retirement, the outcomes are very different.

Retirees who returned to work later in retirement or who have begun receiving pension payouts might consider using this strategy, also called the «start, stop, start» strategy.

Is there some sort of «reset» we should do periodically to ensure we don't end up with too little or too much money later in retirement?

You should also think hard before taking out a reverse mortgage primarily as a back - up line of credit that you intend to tap only in emergencies or if your nest egg begins running low later in retirement.

Or you might take out more later in retirement to cover additional medical expenses that you incur.

The worst outcome would have come for someone who made withdrawals between 1999 and 2008, when the portfolio generated slightly less income and would have declined in value to $ 79,783, leaving fewer assets available for later in retirement.

The idea is that by postponing payments, you can put up less money today (thus leaving more of your savings available for current spending) while still ensuring you'll have money coming in later in retirement, even if you overspend early on.

People with sufficient income from other sources to cover retirement expenses immediately might prefer to delay claiming Social Security until later in retirement.

If they live a long and healthy life, they may need the «safety net» of Social Security later in retirement when other savings could be depleted.

Deferred income annuities (DIAs) are sometimes called longevity insurance because they help protect against the risk of running out of money later in retirement.

In fact, if a loss occurs earlier in life, there is also the chance that you may have more time to recover (versus a loss occurring later in retirement).

Surprisingly, if you are hit by a bad spell later in retirement, you should be fine because you will have grown your money very well during your early years of retirement, Kitces said.

Qualified withdrawals from Roth accounts won't be taxed, making them a useful vehicle later in retirement.

If you don't do so, delaying Social Security could leave you withdrawing from your other assets more quickly than you should, which could be a problem later in retirement.

«It's just a matter of luck if a down market strikes early or late in your retirement,» Nuss said.

If the two bad investment years that wreaked havoc with the woman's money had come late in retirement rather than at the outset, she would have had about $ 2 million at age 95.

Often advisers suggest that those early in retirement invest half in stock and half in bonds, and those late in retirement invest 25 percent in stocks.

The possibility of ending up with a hefty nest egg late in retirement may not seem like reason for worry.

Bottom line: If you're concerned about running short of income late in retirement, a longevity annuity is worth considering.

And in cases where portfolios survive, the ones with more stock exposure will generally have much higher balances late in retirement than more conservative ones.

This annuity guarantees that a stream of income will exist late in retirement.

Let's say that between Social Security and withdrawals from savings you figure you'll have enough money to cover your retirement expenses, but you don't want to find yourself late in retirement having to rely solely on Social Security if you spend through your nest egg more quickly than you expect.

This type of annuity acts more like life insurance, except instead of paying off when you die, it starts making payments if you're still alive late in retirement (which is likely given today's long life spans).

If your retirement portfolio generates solid gains despite current projections for subpar returns, pulling out very little each year could leave you sitting on a big pile of savings late in retirement.

Slip much below 80 %, however, and you could find yourself having to scrimp late in retirement.

The reason is that adjusting withdrawals based on market conditions lowers the odds you'll deplete your savings too soon, which means you don't have to devote as much of your savings to an annuity to avoid running short on income late in retirement.

Even if you succeed in not running out of money, following it could leave you with a big stash of cash late in retirement if the markets do well.

If your investments thrive, limiting your withdrawals to an inflation - adjusted 4 % could leave you sitting on a big pile of savings late in retirement, possibly more than you had when you retired.

This money could provide a comfortable cushion for unexpected expenses late in retirement.

A QLAC has other benefits as well, such as the peace of mind that comes from knowing you'll still have money coming in late in retirement even if you overspend early on.

The idea is that you insure you'll have income flowing in late in retirement while parting with less money upfront than you would with an immediate annuity, leaving more of your savings for spending early in retirement.

Not exact matches

Forrec's work with Universal Studios led to an unusual client for the company — H. Gary Morse, who had developed a prosperous retirement community in Florida, later dubbed The Villages, complete with pools and golf courses.