🔹 Their Situation at Retirement

• Both age 62 and ready to retire immediately
• $1.8M invested across market-based assets
• Already purchased a $1M income annuity two years prior
• Income goal: $13,000/month after taxes
• High longevity expectations and both in great health
• Social Security benefits: $4,000/month each at age 70

🔹 Phase 1: Ages 62–70 — “Deferred Income Phase”

The Strategy: Delay both Social Security and annuity income until age 70.

Why?

Because both income streams grow 8%+ per year, guaranteed, with zero market risk.

That’s a tough return to beat — especially when it’s guaranteed and inflation-protected.

In the meantime:

• They’ll take approx. $15,000–$18,000/month from their investment accounts
• They’ve established a “lower guardrail” of $1M — if the portfolio drops below this amount, they’ll activate the annuity income early
• This approach gives their portfolio time to recover if markets dip

By building a defined income “floor,” Chandler and Monica reduce the risk of being forced to sell in down markets, giving their portfolio more room to breathe.

🔹 Phase 2: Ages 70–79 — “Growth Without Withdrawal Phase”

At 70, both Social Security and annuity income kick in — now providing over $20,000/month of guaranteed income.

Because their income needs are fully covered by these guaranteed sources, they won’t need to withdraw a dime from their investments during this period.

This gives their portfolio the ability to grow without interruption, even as they enjoy retirement.

• Assuming an average return of 8% per year…
• Their portfolio could grow by $900,000+ during this decade

🔹 Phase 3: Age 79+ — “Flexibility + Legacy Phase”

From this point forward, Chandler and Monica continue to:

• Let the portfolio grow
• Use small supplemental withdrawals if needed for inflation or long-term care
• Stay invested aggressively to keep up with future healthcare or inflation surprises

If their investment account surpasses $2.5M, they plan to implement tax-free gifting strategies using life insurance or Roth conversions — allowing them to leave a legacy for their loved ones while minimizing taxes.

🔹 Why This Strategy Works

This plan offers the best of both worlds:

✅ Protection against poor markets
✅ Flexibility to adapt if markets outperform
✅ Guaranteed income from annuity and Social Security
✅ A built-in hedge for longevity, inflation, and healthcare needs
✅ A clear plan to preserve — and eventually transfer — wealth

🔹 Final Thoughts

Retirement doesn’t have to be all-or-nothing.

By layering guaranteed income with smart, guardrail-driven investment withdrawals, Chandler and Monica get peace of mind and long-term growth potential.

If you’re within 5 years of retirement and want a plan that maximizes income without relying entirely on the market…

Let’s chat about how this strategy might apply to you.

💬 Schedule your free retirement income analysis here.