During your early retirement years, you are likely to spend as much or more than when you were working because you are more active and have the time and energy to enjoy more experiences with family and friends.
In mid-retirement years, you have crossed off bucket list items and find more fulfillment staying closer to home. Your expenses during the slow-go years are generally much less.
And finally, we enter the No-Go years, which is where health constraints come into play, and you are therefore unable to do as much. Medical costs are highest in late retirement and comprise a large amount of your living expenses. Oftentimes, these costs can quickly erode wealth transfer plans such as leaving a legacy to loved ones.
Lastly, we review various Cash Flow scenarios based on expected expenses and returns on your investments. This includes when to begin taking social security, including weighing the benefit of delaying the start year to help increase your retirement income.
By clarifying your goals and learning how your living expenses will change during various phases of your retirement, this will allow you to better determine the right time to fully enjoy your next stage of life.