Most people realize an investment strategy during the accumulation years of your life is important, but few realize that investment strategy through your distribution phase of life is probably more important.
There are right and wrong ways to take money from your investment assets in retirement. At Divergent Wealth Advisors, we help clients determine the most effective distribution strategy to ensure a lower tax liability, better risk-adjusted returns, and a higher likelihood of achieving all of your financial goals.
What Is Retirement Income Planning?
In the simplest terms, planning your retirement income involves applying appropriate investment strategies and properly timing your retirement withdrawals from your investment accounts. A sensitive balance must be maintained between your need for income, your desired lifestyle, and the appreciation of the market.
Ideally, distributions should be taken out when markets are near all-time highs, while distributions during market corrections should be limited. This proves to be a difficult task for the average investor. Because proper execution of this strategy involves perspective and experience, working with a CFP® at Divergent Wealth Advisors can greatly enhance your ability to achieve your goals during volatile markets.
The Importance of Planning Your Utah Retirement Income
Too many Americans have insufficient savings for retirement and will, unfortunately, be relying on social security to provide the vast majority of their retirement income. The earlier we can discuss and put a plan in place to supplement this failing government program the easier your retirement plan will come to fruition.
Waiting until retirement to create an income strategy can leave investors with few options and painted into a corner from which they cannot escape. Some income strategies take over a decade to create before they can be effectively executed.
Personalized Retirement Income Planning Services
In addition to structuring your investment portfolio to accomplish your retirement goals, our wealth management advisors can help you determine how long to defer drawing on Social Security to maximize its payout.
If you have been deferring income taxes over time, we can also help you figure out when and how to effectively minimize those potential liabilities.
Our Certified Financial Planners™ can help you establish individual retirement accounts (IRAs) and many other investment vehicles that are geared specifically toward your retirement goals.
Contact Divergent Wealth Advisors’ Utah office today to schedule a consultation with one of our financial planners to discuss personalized retirement income planning.