Do I need a Roth Conversion? How long will I live? Will I run out of money? What if I die before my spouse, will they be ok? These are some of the questions we look at in this case study of a couple in their 60’s with $1 million. We take a look at how much they can expect to spend in retirement. We’ll also take a look at some of the things that might go wrong while in retirement.
00:00 Introduction
01:06 The “Light Bulb” Moment
02:38 Parameters
03:30 Income Plan
05:54 Inflation and Your Income Plan
07:10 Social Security
08:29 Monte Carlo Simulation
10:43 Sequence of Returns Risk
11:19 Roth Conversions
12:14 Biden Tax Legislation Livestream
13:27 Required Minimum Distributions
15:06 Identifying the Shortfall
17:46 Social Security Income Analysis
21:05 Play Zone
27:53 Your Portfolios and Time
28:27 Contact Us and Subscribe
#incomeplanning #retirementplanning #retirementincome #retirewith1million #retirementat60
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REVEALED: How To Invest During Inflation
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First off don’t retire at 60!! Work until you are 65 and are on MEDICARE. You have to be invested in S&P500 (aka SWPPX which grows at 9%) with $880,000 in the mutual fund. You put $120,000 (1,000,000 x 3%) in your Checking account at your bank. This gives the couple in the example $30,000 + their SS paychecks $44,000 ($22,000+$22,000) for a total of $74,000 a year to live on for the NEXT 4 years. The market is UP 3 out of 4 years. You replenish your CASH only when the mark is at a NEW MARKET HIGH. If in 4 years the market is not at a new high you ONLY take out ONE year of CASH. Also when you take out NEW MONEY you recalculate your current total NET WORTH and take out only 3% of it for each year you are replacing at that time.
You can’t take out $100,000 their first 10 years as you suggest these people will go BROKE for sure.
Great vudeo
Talk to a financial advisor about an annuity with growth potential. Keep it in the equities market, your subject to volatility riskk, which will kill your assets if you draw them down in a market downturn.
This assuming that you will spend less as you age is really dangerous. Medical bills increase the older you get and need to be accounted for.
The only reason why someone would retire early is to travel and enjoy life while in good health. So the probability of them going broke goes way up. I’d say stay working until 62-65 then withdrawal social security
inflation transitory ?
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Click bait
My oh my… how times change… 6:40
4 percent to 5 percent maximum annually would be safe.
I am 56 with 1.7 million in investments and if I retire today my Firemen pension will be 80,000 a year. I have no debt and I plan to retire in 4 year hopefully ending with over two million in investments and 104,000 a year in pension benefits. My wife has another 3/4 million is investments, do we have enough to retire?
Why would anybody retire at 60 unless they were financially independent?
Without science none of you will make it solvently.
You need to grow your own food fish and ride electric bikes buy solar pannels. Other wise you'll spend all your money.
The inflation number did not age well just one year later. Most, not all, business owners saw this earlier than most.
I can hear him swallow his spit every time .. move the mic
Transitory inflation…. Hmmmm this has not aged well.
Am I missing something here? 100k a year for the first 10 years will use up all the 1mil.
retiring at 60 with $76k of cola adjusted social security when they get to 67. for these folks it's all about getting to 67! once they get to slow go years they're soc sec covers the $75k budget need. best to put a $200k or so of that million into safe CDs, TIPs etc before retiring, no? anything to defeat sequence of return issue
Sorry, your assumptions in your model are all wrong esp re inflation and the federal government not raising taxes, Plus, 401Ks will be lost when the economy crashes. Then, you have to worry about Fed Coin. That’s gonna be interesting.
So life is over aftet 78?
Depends on your other income (e.g. social security, pensions, …).
A fairly simple Excel worksheet will tell you the answer.
The tricky part Is you have to guess what your rate of return will be, how long you will live, and how much more you will have to withdraw each year to account for inflation.
Impeach biden
What calculator is the one you are using for those calculations? Is very interesting.
Love watching your presentation. What software you use?
If you retire and have 1 million US and move to Thailand you will have 35 millions Bath Thai money then you can have a good heath care, house/Car paid with cash. Then you still about 20 millions Thai money to leave for the next 20 years
➕️ you can have personal maid.
Get to the point goooood
Good video, was wondering if you do fee only financial planning?
TRAITOR TRUMP says send him the money, and write it off.
Go and get a grave, hure funeral services and burial or cremation services!!!
Looking forward to seeing your video presentation at the end of September. I’m sure the 8 1/2% inflation rate is going to have a big impact on everybody’s portfolio and retirement plans.
I plan to pull out of my RRSP first. This is estate planning 101. And keep investing in my TFSA – this is what I will leave in my will.