A tontine is a pooled investment structure where a group of participants contributes money into a common fund. The fund then pays out income to its members, typically for life. As participants pass away, their share is redistributed among the surviving members, so the income for those who remain gradually rises. At its core, a […] The post Tontines: An Old Idea Revisited for Modern Retirement Challenges appeared first on Retirement Researcher.| Retirement Researcher
Retirement income is only as strong as what it can buy. Over time, prices rise for groceries, travel, and healthcare, making it harder to sustain your spending budget over the long term. Maintaining purchasing power is what preserves your lifestyle and standard of living. This is why retirees consider tools and strategies that keep pace […] The post Protecting Purchasing Power in Retirement appeared first on Retirement Researcher.| Retirement Researcher
One of the most significant risks retirees face is the sequence of returns risk, which is the danger that poor investment returns early in retirement will have a disproportionate impact on long-term financial security. This is because you are selling holdings at a loss to create income, reducing the value of your assets for future […] The post Building a Safety Net for Retirement Income with Buffer Assets appeared first on Retirement Researcher.| Retirement Researcher
It is easy to get caught up thinking about the benefits of retirement, like no more morning commutes, more time with loved ones, travel, hobbies, and freedom. But from a financial perspective, the first few years of retirement are some of the most critical. While much attention focuses on accumulating sufficient assets for retirement, the […] The post The Fragile Decade: Why the First Years of Retirement Matter Most appeared first on Retirement Researcher.| Retirement Researcher
Retirement planning tools are incredibly helpful, until they’re not. Various tools can offer insight into your financial future, but none of them tells the whole story on their own. To make informed retirement decisions, you need more than just a number or a percentage. You need to understand how these tools work, what they assume, […] The post What Retirement Planning Tools Get Right and What They Miss appeared first on Retirement Researcher.| Retirement Researcher
In many relationships, one person naturally takes the lead on managing the finances, paying bills, tracking investments, and coordinating with the advisor, while the other is happy to stay on the sidelines. The other partner may not be disinterested, but they’re not exactly drawn to spreadsheets or financial planning conversations either. And for the most […] The post How to Talk About Money When Only One of You Wants To appeared first on Retirement Researcher.| Retirement Researcher
When it comes to retirement income planning, annuities can serve as a powerful tool to convert savings into a predictable income stream, either for a lifetime or a specific period of time. With that said, the decision about what assets to use when funding an annuity (i.e., in a taxable brokerage account, a traditional pre-tax […] The post Understanding the Tax Impact of Funding a Fixed Annuity appeared first on Retirement Researcher.| Retirement Researcher
Taxes are not only determined by how much income you receive but also by the type of income generated. Some income is taxed at ordinary rates, while other sources qualify for lower, preferential rates. Understanding how these different forms of income interact can open up valuable planning opportunities. The U.S. tax code is progressive, meaning […] The post Understanding Preferential Income Stacking in Retirement Planning appeared first on Retirement Researcher.| Retirement Researcher
Once you hit retirement, the focus shifts from saving to spending, and how you take those distributions can have a big impact on how long your money lasts. You’ve done the hard work of building your nest egg; now it’s time to spend it. But creating a retirement income plan isn’t just about maximizing every […] The post The Spending Shift: Turning Your Portfolio into a Paycheck appeared first on Retirement Researcher.| Retirement Researcher
When kids talk about what they want to be when they grow up, you’ll usually hear dreams of becoming firefighters, astronauts, or maybe even rock stars. “Financial planner” doesn’t often make the list. But if you ask the best advisors in the business today why they chose this career, you’ll hear something unexpected: they just […] The post The Psychology of a Financial Advisor appeared first on Retirement Researcher.| Retirement Researcher
Though reverse mortgages have long held a bad reputation, research and public policy in recent years are shedding new light on their potential uses in retirement.| Retirement Researcher
