Building a retirement income plan is basically securing your future. This includes an investing and a withdrawal strategy. You first need to identify your main objectives, then start building your future on it.
In retirement, when you stop working everyday to make some money and live with the money you worked hard to build, you need to make some changes in your life in order to continue living comfortable. In order to have a comfortable retirement, you should work with the main three key goals in your mind.
Set up income sources
When you are retired, you won’t be working anymore. However you will continue to have expenses as you living. So for this, you need to make sure you day-to-day expenses are covered by some income source.
Protect your money against market moves
The market won’t always be making you earn more money. It can turn down. So if you want to protect your money against market losses, you should protect some of your portfolio. Because of some other investments are safer than others, consider putting these into your portfolio. Money market accounts, bonds or CD’s and fixed annuities offer protection.
Keep your money growing
Protecting your money is not your only mission. You will also need to grow it in order to maintain your purchasing power. Include investments with growth potential to your portfolio.