Income Planning
We want you to feel more secure about your financial future with strategies designed to provide a steady income throughout retirement.
Tailored Strategies for Sustainable Income
Our approach to income planning is focused on creating a steady, reliable income stream that supports your retirement lifestyle. We consider all sources of income and how they can work together most effectively for you.
Our team works with you to seek to strategically maximize your Social Security benefits to better ensure optimal financial support for you and your spouse.
We conduct a comprehensive analysis of your income and expenses so we know how to best support your lifestyle more securely throughout retirement.
Our financial planners implement a plan to protect against inflation, aiming to ensure your purchasing power remains strong as costs rise.
We help develop a coordinated approach to aim to secure your spouse's financial well-being and peace of mind in retirement.
We work together with you to create strategies to protect against longevity risk, seeking to ensure your income sustains you for life.
We help you establish a strategic emergency fund to better protect your retirement against unexpected expenses, aiming to further secure your financial future.
Keys to Income Planning
FAQS
It depends. You can defer your payments until age 70 and the longer you defer, the higher your payments will be. But, it could make sense to start your SS payments early depending on your monthly shortfall in retirement.
Up to 85% of your Social Security benefits could be taxable, depending on your income.
Under $25,000 (single) or $32,000 (joint filing): No tax on your Social Security benefits
Between $25,000 and $34,000 (single) or $32,000 and $44,000 (joint filing): Up to 50% of Social Security benefits can be taxed
Above $34,000 (single) or above $44,000 (joint filing): Up to 85% of benefits can be taxed.
Your monthly shortfall is the difference between the amount of income you have coming in from sources such as Social Security, Pension, or part time wages and the amount of your monthly expenses. For example, if your monthly pension and social security income equals $5,000 and your expenses are $9,000, your shortfall is $4,000 per month. This shortfall amount would need to be covered from investment and retirement accounts.
It is important to take into account the impact of inflation. When building your retirement income plan you should anticipate your expenses increasing each year based on the rate of inflation. Some expenses like healthcare, fuel and food may increase faster than the headline rate of inflation so your Nicholas Wealth financial advisor will work with you to tailor the income plan to reflect your lifestyle.
Equities are a great way to achieve long-term growth and appreciation of your assets. For your income bucket, we recommend owning assets that generate consistent monthly, quarterly or annual dividends and interest during retirement.
Our financial advisors help you craft an income strategy that can improve financial stability and help you enjoy what matters most.
