Developing and maintaining a robust financial plan in retirement is a classic actuarial problem involving the time-value of money and life contingencies. This problem is easily solved with basic actuarial principles, including periodic comparisons of household assets and spending liabilities.
Sunday, September 22, 2013
Retirement Income Source Diversification
http://howmuchcaniaffordtospendinretirement.webs.com/Retirement_Income_Source_Diversification_09222013.pdf
As indicated in previous posts, It is not unreasonable to manage risks in retirement by diversifying sources of retirement income. This could involve maximizing Social Security benefits (by deferring commencement), utilizing some life insurance company annuity products (or defined benefit plan annuity income) and utilizing a rationale spend-down strategy for managed assets. This article compares three diversified options with the 100% Annuity option and the 100% Self-Managed option.