Retirement Budget Your Can Create

A Retirement Budget Your Can Create

Today’s show is all about living comfortably while retired. You know, when you leave the workforce and enter retirement, you are going from “paycheck” mode to “NO paycheck” mode. That can be a huge adjustment for most people. One of the most important things is making sure that you have the right monthly income budget. So, let’s walk through  exactly why it’s so important to have a  monthly retirement budget, and how to create one.

It’s a common question, “Do I have enough to retire?” And it’s a good question if you want to retire in the near future. The problem is that you’re often lead to believe that you need to focus on how much you have saved for retirement. This focus, however, ignores what you actually need to live comfortably. So, let’s try to change that focus. Let’s go over, the importance of having a solid retirement income budget. What is the best way to plan for your retirement budget? Let us help you determine just that!

The thought process go something like this:

Retire

You’ve retired, so now your paycheck is going away (or in some cases mostly away, in case you plan to work part-time or as semi-retired)

Establish Income for Your Retirement Budget

You are more than likely entitled to a pension…or some monthly benefit from Social Security, and that may pay some of your bills, but for most people, it’s not going to be enough to live on month to month.

Create systematic withdrawals

The next stop would be to take normal or systematic withdrawals from whatever you were able to put away over the years (inside your IRAs, bank accounts, 401(k) or employer-plans,)

And this, is where things can start to get dicey. Do you know exactly how much you will need to draw off of your portfolio from month to month, in order to live the way you hope to live? So, now it sounds like this is where there we need a system to understand how we spend our money either before we retire, after we retire or both!