At Retirement (Distribution)
The At Retirement module is designed to help clients who are close to retirement or who are already retired determine sustainable levels of retirement spending. This module allows the input of an unlimited number of spending goals including education and extraordinary goals such as world travel or large purchases and illustrates how meeting these spending goals may affect the ability to meet basic needs and wants during the retirement distribution period.
Module Target User – Advisors
Completion Time – 20 to 40 minutes
This module:
- Illustrates when assets will run out given retirement spending goals or when retirement can begin to fully fund retirement spending goals
- Through the use of powerful scenario and what-if capabilities, allows the planner to model multiple retirement spending patterns and compare the results of the risks a client might face in retirement
- Illustrates most disaster scenarios such as spending too much early in retirement, needing expensive long-term care, living longer than expected, and poor portfolio performance
- Determines required minimum distributions (RMDs)
- Models asset depletion by tax type and allows the planner to illustrate the effect of depletion order on the plan
- Addresses Social Security, pensions, annuities, life insurance, tax advantaged accounts, legacy planning, debt planning, and other features
- Uses Monte Carlo Simulation to illustrate the likelihood of being able to carry out a retirement distribution/spending plan