Retirement Income Shouldn’t Depend on the Market; It Should Depend on Math
May 24, 2022 by https://www.kiplinger.com/retirement/retirement-planning/604705/retirement-income-shouldnt-depend-on-the-market-it-should
Market ups and downs can keep retirees on edge, worried about potentially big losses from which they may never be able to recover.
And those worries aren’t necessarily misguided. From 1928 through March 2022, there have been 26 “bear markets.” A bear market is a market decline greater than 20% that lasts at least two months. The average bear market decline since 1928 has been 35.62%, so the potential for big losses is real.
Click HERE to read the full story via Kiplinger
Wink’s Note: It seems to me that this strategy of using three buckets for your retirement planning would work:
1. Safety bucket;
2. Income bucket; and
3. Growth bucket.
Is this a generally accepted principle of retirement planning? Do you use it, and how do prospects/clients respond?
It just seems to me that the three-bucket approach may not work for everyone? – sjm
