Retirement Income

The Floor-and-Ceiling Retirement Income Strategy

One of the hardest parts of retirement isn’t just leaving work — it’s replacing a steady paycheck with income that’s anything but steady. Markets fluctuate. Expenses come in waves. And the future is always uncertain. Retirees often find themselves stuck between two fears: spending too much and running out of money… or spending too little and missing out on the life they saved for.The floor-and-ceiling retirement income strategy is a flexible retirement income system that sets a safety net to protect your essentials (the floor) and a cap to prevent overspending (the ceiling). Within those limits, your income can adjust…
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How to Maximize Your Social Security Benefits

Social Security plays a central role in retirement income for many Americans, but the amount you receive is not fixed. The system is designed to reward certain behaviors and work patterns, meaning your decisions today can significantly impact your lifetime benefits. Below are key strategies to help you maximize your Social Security. 1. Eliminate Years with Zero Earnings Social Security calculates your benefit based on your highest 35 years of earnings (adjusted for inflation). If you worked fewer than 35 years, the missing years are filled in with zeros—dragging down your average.Even a few additional years of part-time work in…
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Things Most People Don’t Know About Social Security

For most Americans, Social Security is the foundation of retirement income. Yet despite how common it is, many people don’t fully understand how it works. The system has layers of rules, exceptions, and hidden opportunities that can make a big difference in retirement planning. Here are some of the things most people don’t know about Social Security: Social Security Isn't Just a Retirement Program Most people think of Social Security only as a retirement benefit, but it also provides disability benefits, spousal benefits, survivor benefits, and even benefits for children in some cases. In fact, nearly one-third of beneficiaries are…
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What Is a Charitable Remainder Trust? Learn the Basics

A Charitable Remainder Trust (CRT) is a special type of trust that provides income to individuals for a period of time, with the remaining assets ultimately going to charity. At its core, it’s a way to support both personal financial needs and charitable intentions in a single structure. While many people use CRTs to generate income during retirement or provide for family members, they also offer significant flexibility for more advanced tax and estate planning strategies—such as deferring capital gains taxes, reducing estate tax exposure, or managing the sale of highly appreciated assets.This article will focus on the core features of…
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What Is a Charitable Gift Annuity (CGA)?

A charitable gift annuity (CGA) is a tool that blends philanthropy with retirement income. It allows you to make a meaningful gift to a nonprofit organization while also creating a reliable stream of income for yourself or a loved one. How a Charitable Gift Annuity Works Unlike some charitable planning strategies that require complicated trust documents, a CGA is straightforward: it’s a contract between you and the charity.You make a gift.You contribute cash, stocks, or other assets to a qualified nonprofit organization. Minimums vary by charity, but often start around $10,000You receive fixed income for life.In exchange, the charity agrees to…
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The Different Ideologies Surrounding Social Security Claiming

When people talk about when to claim Social Security, they often sound like they’re debating politics, barbecue styles, or the best way to make coffee. Opinions are strong. Camps are divided. And the “right” answer depends heavily on what you value most.Over the years, I’ve seen five main ideologies emerge. They’re not just financial strategies—they’re reflections of personality, risk tolerance, and even life philosophy. The "Cash It In Crew" These folks see Social Security as a lifetime tab they’ve been paying into—and they’re ready to cash out as soon as the window opens at age 62.They argue that no one…
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The Economic Value of Social Security: A Critical Piece of Lifetime Net Worth

Social Security is often seen as a government benefit—something earned over a lifetime of work but not fully appreciated until retirement. However, when evaluated economically, Social Security represents one of the most valuable assets many retirees possess. Its true value becomes even clearer when viewed through the lens of a comprehensive lifetime net worth statement, which accounts for both current assets and the present value of future income and expenses. The Economic Value of Social Security At its core, the economic value of Social Security lies in its stream of guaranteed, inflation-adjusted payments that continue for life. These payments often rival…
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Guardrails Retirement Income Strategy

The transition from saving for retirement to spending in retirement can feel like walking a tightrope. Spend too much early on, and you risk running out of money. Spend too little, and you may miss out on the very life you worked hard to enjoy. That’s where the guardrails retirement income strategy comes in—a flexible, rules-based approach designed to balance risk and lifestyle across your retirement years. What Is the Guardrails Strategy The guardrails strategy is a dynamic retirement withdrawal method that adjusts your income based on the performance of your investment portfolio. It was originally developed by financial planner…
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The Tax Torpedo: How It Works and How to Avoid It

Many retirees are surprised to find themselves paying more taxes than expected in retirement—especially on their Social Security benefits. One major culprit is the so-called “Tax Torpedo”, a term used to describe the sudden and steep marginal tax rate increase that occurs as Social Security benefits become taxable.  What is the Tax Torpedo? The Tax Torpedo refers to the sharp rise in marginal tax rates that can occur when a retiree's income crosses certain thresholds, causing more of their Social Security benefits to become taxable. This can lead to an effective marginal tax rate far higher than their nominal tax…
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Required Minimum Distributions (RMDs): What You Need to Know

When it comes to retirement, one of the most important—but often surprising to learn—rules is the Required Minimum Distribution (RMD). RMDs are mandatory withdrawals from certain retirement accounts that begin after a specific age. Failing to take RMDs on time can result in tax penalties, so it’s important to understand how they work and how to plan for them. What Is an RMD? A Required Minimum Distribution is the minimum amount you must withdraw annually from your tax-deferred retirement accounts once you reach a certain age. These withdrawals are mandated by the IRS to ensure that retirement savings eventually become…
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