Retirement Readiness Part 2 - Retirement Income

We walk through how retirement income actually shows up after the paycheck ends, then reduce it to a clear cash flow test: monthly spending must be matched by reliable monthly income. We also explain when you can access 401(k) and IRA money without penalties and how a 4% to 5% withdrawal guideline can help you sanity-check retirement readiness. 

• Penalty-free access rules for 401(k) and IRA withdrawals at age 59 and a half 
• Early retirement planning need for savings outside retirement accounts 
• Brokerage “bridge account” concept to cover the gap until 59 and a half 
• Cash flow matching method using gross income versus monthly spending 
• Stacking income streams such as Social Security pensions rentals part-time work annuities 
• 4% to 5% withdrawal guideline to estimate sustainable portfolio income 
• Setting up automatic distributions and choosing a payout frequency 
• Investing approach in retirement with diversification and a more conservative tilt 
• Rental income netting guidance including repairs taxes insurance and management costs 
• Pension decision points including monthly annuity options versus lump-sum rollover 

This is part 2 of a series - Please pause and listen to Part 1 before listening.