The Setup:

Today it’s part two of a five-part series about financial myths and this episode focuses on an important one.  The common belief in retirement is that you’ll need less income than you did while you were working. While we all hope this is true, basing your plan off this idea can put you in a difficult situation down the road.

Click the timestamps below to skip to a specific topic in the episode.

The Combination:

When you think about retirement, what do you picture yourself doing? Are you traveling the world, picking up a new hobby, or just enjoying time on your patio?

However you envision your ideal scenario, you’ll need a certain amount of income to fund these expenses. There’s a common belief that once you retire, it won’t be necessary to have as much income as you did while you were working.

That’s the financial myth we want to talk on this episode of Unlocking Your Financial Future. It’s part two of a five-part ‘Busting the Biggest Financial Myths’ series and this might be the most important. Everyone’s situation is different, but understanding what income needs you’ll have in retirement will help you formulate a successful plan.

On this show, we’ll run through the different types of retirement income you can expect along with some strategies for adding additional revenue streams. Ben will also share the experience he has with clients – how prepared they are, what questions he asks them, what common things he sees – to help explain why this retirement income belief is a myth.

Before the main discussion gets started, we’ll dive into the mailbag and take a listener question on retirement investments that fits into this conversation perfectly.

 

Key Points:

[0:51] – Ben’s getting ready for the Cleveland Browns season to kickoff.

[1:09] – Introducing part 2 of the series ‘Busting the Biggest Financial Myths’

[2:21] – Mailbag question: Now that I’m retired, I need income from my investments. Should I invest primarily in dividend-paying stocks now?

[3:38] – Beginning our discussion on retirement income.

[4:05] – Myth: You’ll need less income when you retire than when you’re working.

[5:00] – Sometimes retirees don’t know how to spend their money because they’re so used to saving.

[5:50] – How does someone know what level of income they’ll need to have to retire?

[6:27] – Ask yourself this question.

[6:57] – What are the primary income sources for a retiree?

[7:42] – You can find your Social Security estimate anytime.

[8:45] – What options do you have for adding income-generating investments in retirement?

[9:45] – Are clients typically prepared when they come in?

[9:14] – Life insurance can be a way to take income in retirement.

 

Related Content:

Do You Need Life Insurance After Retiring – Busting Financial Myths, Part 1

PODCAST: Getting to Know Ben Schrock & The New Podcast