The 3 Most Important Stages of Retirement Planning (and what to focus on in each)‼️

(don’t forget to checkout the video of this blog too)

There are multiple stages to your Retirement Planning journey.

And different phases require different objectives, tools, and philosophies.

Here are the 3 Most Important Stages of Retirement Planning:

✅ Wealth Accumulation Phase

Building wealth is a function of becoming a remarkably disciplined saver…

And allowing the market to yield the actual returns it’s capable of.

Remember: saving is one thing that is entirely in your control, but the performance of the market is not!

By being a disciplined saver & investing consistently you give yourself the best possible chance of having enough saved for retirement.

Unfortunately, the average investor only sees about a 3.5% annual return over their lifetime….

…..but the market produces a 10% average annual return.

This disparity is entirely psychological.

That’s why you must resist the urge to try to beat the market.

The simplest and easiest way to win in the market over time is to just passively participate in it.

It really is that simple.

✅ Wealth Distribution (or Income) Planning

About 5–15 years out from retirement your mindset needs to change from accumulation to Retirement Income Planning.

This doesn’t mean that you aren’t still growing your money (or that you are removing the market from the equation entirely).

But you are now positioning your assets in a way that maximizes your income while simultaneously reducing your exposure to a large market loss (leading up to retirement).

This may include some additional guaranteed, lifetime income beyond Social Security Income, or it may be more of a focus on minimizing your taxes going into retirement.

Often, it’s a combination of strategies.🤝

Either way you need to start reallocating assets out of a volatility of the market…

And into a market independent asset that can provide consistent and predictable returns.

This helps you manage market risk in the most important years while also building up an income base that isn’t tied to the performance of the market.

✅ Wealth Transfer or Legacy Planning

If you’ve done proper Retirement Income Planning and you know you have enough to retire…

Then you are likely going to end up in a position where you want to start planning your legacy.

This may include an annual tax-free annual gifting strategy, the repositioning of your estate into a larger tax-free wealth transfer down the road, or often a combination of these two strategies.

Either way, it’s important to secure your own retirement first…

Once you’ve done that you want to create a plan to efficiently transfer your hard-earned wealth to the people you love. ❤️

Let’s Chat 💬😎