Planning for retirement can feel overwhelming, but one concept consistently rises to the surface: the “magic number.” It’s the amount you believe you need saved to retire comfortably. While this figure varies by individual, new studies show that Americans are revising their expectations in 2025 — and not always in the direction you might expect.
At SafeMoney.com, we believe retirement confidence begins with education, not guesswork. So let’s dive deeper into what today’s retirement landscape looks like, what factors are influencing Americans’ magic numbers, and how you can better prepare for your own future. Read More
Turn Your Retirement Income Into a Paycheck That Lasts
When your career ends, your bills don’t. That’s why retirement income—not just savings—is the cornerstone of financial independence in your golden years.
Retirement income planning is the art and science of creating a reliable stream of income that lasts as long as you do. And for most people, this is best done with the guidance of a qualified retirement income planner.
In this guide, we’ll help you understand how to structure your finances so you never have to wonder where your next retirement paycheck is coming from. Read More
Retirement is often seen as a time to relax, travel, and enjoy life after years of hard work. However, without careful planning, taxes on your retirement withdrawals can significantly reduce your income, leaving you with less money to enjoy your golden years. The good news? With strategic planning, you can minimize your tax burden and make your retirement savings last longer.
In this guide, we’ll break down 10 actionable strategies to help you keep more of your hard-earned money in retirement.
1. Understand How Different Retirement Accounts Are Taxed
Planning for retirement can be both exhilarating and overwhelming, especially when it comes to designing a reliable income strategy. With this newly released resource, “How to Create Safe Retirement Income Strategies,” retirees and future retirees now have access to an expert guide on building a secure, steady income that can withstand life’s uncertainties and help fulfill their retirement dreams. Here’s an overview of what this resource offers and how it can support your financial future.
Transitioning from a regular paycheck to drawing from savings and investments is a big change that requires thoughtful planning. This guide focuses on how to assess your financial needs, minimize risks, and ensure that your income supports your lifestyle throughout retirement. It addresses critical topics like inflation, rising healthcare costs, and tax-efficient strategies, empowering readers to build a resilient retirement plan that promotes peace of mind. Read More
What’s your plan to replace your income in retirement?
As retirement approaches, one of the biggest concerns for many is how to replace the steady paycheck they’ve relied on during their working years. Without proper planning, retirees can find themselves facing a financial shortfall that impacts their lifestyle and long-term security. That’s why understanding income replacement strategies is crucial to maintaining financial independence and ensuring a comfortable retirement. This article explores key strategies for replacing your paycheck in retirement while focusing on financial security.
Understanding Income Replacement in Retirement
Income replacement refers to strategies that generate enough income to sustain your lifestyle after you stop working. While Social Security benefits can provide some income, they are rarely enough to fully replace a working paycheck. This gap often leaves retirees searching for additional sources of income to maintain their quality of life.
When planning for retirement, one important goal is to replace around 70-90% of your pre-retirement income. This is often referred to as the “income replacement ratio.” The percentage you need depends on factors like your lifestyle, healthcare expenses, and whether you have debts or other financial responsibilities.
To address this need, retirees must develop a plan that combines multiple income streams, including Social Security, pensions (if available), savings, and investments. Read More
When planning for retirement, many people turn to non-qualified annuities as a way to ensure financial security. Non-qualified annuities are popular because they offer tax-deferred growth and can provide a steady income stream in retirement. However, understanding how taxation on non-qualified annuities works is crucial before investing, as it can significantly impact your overall financial strategy.
In this guide, we’ll break down what non-qualified annuities are, how they differ from qualified annuities, and how the tax rules apply when you start taking withdrawals. We’ll also discuss key factors to consider when investing in non-qualified annuities and provide a detailed look at the tax implications.
What Are Non-Qualified Annuities?
A non-qualified annuity is an insurance product that allows you to invest money that has already been taxed (after-tax dollars). The funds you contribute grow tax-deferred, meaning you won’t pay taxes on any earnings until you begin withdrawing the money. Unlike qualified annuities (such as those funded through a 401(k) or IRA), non-qualified annuities don’t come with contribution limits set by the IRS, making them a flexible option for those who want to invest more than the annual limits on tax-advantaged retirement accounts.
How Are Non-Qualified Annuities Taxed?
One of the main advantages of non-qualified annuities is the ability to let your money grow tax-deferred over time. This means you won’t pay taxes on any interest, dividends, or capital gains as they accumulate inside the annuity. However, it’s important to understand the specific tax rules on withdrawals and how they apply to non-qualified annuities. Read More
What to Do If You Lose Your Job Before Retirement: Conservative Strategies with a Focus on Income
Losing your job before reaching retirement age, particularly before age 62 when Social Security benefits become available, can be a challenging situation. However, this setback also provides an opportunity to reassess your retirement strategy and focus on generating reliable income streams rather than solely depending on accumulated assets. Here’s a comprehensive guide on managing this transition effectively, emphasizing a conservative approach that ensures income stability.
1. Reassess Your Financial Priorities: Income Over Assets
When faced with a job loss close to retirement, it’s crucial to shift your focus from merely preserving assets to generating steady income. Here’s why:
Predictable Cash Flow: Income provides a regular stream of funds to cover essential expenses, reducing the need to deplete your savings prematurely.
Protection Against Market Volatility: Focusing on income shields you from market downturns that could erode your savings.
Longevity Risk Management: Ensuring a steady income stream helps protect against the risk of outliving your assets, a significant concern for many approaching retirement.
👤Authored by Terry Coleman, a financial expert with extensive experience in retirement planning and annuities. Discover more about my background and expertise here.
Retirement planning is like managing a farming operation—it requires careful consideration, strategy, and a good understanding of the market dynamics. Just as a farmer decides when to buy or sell cattle based on market conditions, investors must determine the best strategies to protect and grow their retirement savings. Annuities are a crucial tool in this regard, providing guaranteed income and mitigating risks like inflation, taxes, long-term care costs, and market volatility. But with various types of annuities available, deciding which is right for you can be overwhelming. This article will explore different types of annuities and why they might be the best fit for your retirement needs, focusing on guaranteed growth, zero market risk, life income, and legacy planning.
Understanding the Basics: What is an Annuity?
An annuity is a financial product that provides a steady stream of income, typically during retirement. It involves a contract with an insurance company where you pay a lump sum or series of payments in exchange for periodic payments that can last for a specific number of years or the rest of your life. The primary appeal of annuities is the promise of a guaranteed income, which can help you navigate financial uncertainties like inflation, taxes, and long-term care costs.
The Accumulation Phase: Setting the Stage for Retirement
Think of the accumulation phase as the period when a farmer invests in his herd, buying cows when prices are low and selling when they are high. During this phase, which usually spans most of your working years, you can afford to take some risks to grow your savings. However, as you approach retirement—typically three to five years out—it’s crucial to shift your focus from high-risk, high-reward investments to more moderate or conservative assets. This transition is akin to the farmer deciding to hold onto his herd and invest in their upkeep when beef prices drop.
This is where annuities come into play, particularly fixed annuities and indexed annuities. Fixed annuities offer a predictable, guaranteed return, shielding your investment from market volatility—a vital feature for those nearing retirement who can’t afford to lose their hard-earned savings. Indexed annuities, on the other hand, provide a balance between risk and reward by linking returns to a market index like the S&P 500. This allows for some growth potential while still offering zero market risk—your principal investment is protected even if the market takes a downturn. Read More
Planning for retirement is a significant financial decision, and the Safe Money Report is your essential resource for ensuring financial security during this critical phase of life. This report is designed to help you navigate the complexities of retirement with strategies that focus on low-risk investments, income planning, and wealth preservation. By following the principles outlined in this report, you can confidently approach retirement knowing that your financial future is secure.
Introduction to the Safe Money Report
The New Retirement Report introduces a new era of retirement planning, reflecting the challenges and opportunities facing today’s retirees. It highlights the growing number of individuals entering retirement and the unique hurdles they face, such as increased longevity, economic uncertainty, and the need for more innovative financial solutions. Understanding these factors is crucial as they directly impact how you should plan and allocate your retirement assets.
When it comes to planning for retirement, understanding how your savings stack up against the average retirement savings by age is crucial. Many people delay making important financial decisions, not realizing the significant impact that waiting can have on their retirement security. This article explores how your timing, in comparison to the average retirement savings by age, can affect your ability to achieve a stable and guaranteed income in retirement.
Understanding Average Retirement Savings by Age
Knowing the average retirement savings by age can help you assess whether you’re on track for retirement. For example, if you’re 40 years old and your retirement savings are close to the average for your age group, you might feel reassured. However, even if your savings are average, the timing of when you secure your retirement income can have a profound impact on your future financial security.
The Cost of Waiting: A Closer Look
Consider two hypothetical 40-year-old individuals, Savvy Sue and Cautious Bob. Both want to retire at 60 and aim to generate an additional $25,000 in annual lifetime income. Despite both having average retirement savings for their age, their approaches to securing this income differ. Sue decides to lock in her retirement income at age 40, while Bob delays his decision until age 50. Read More
Start a Conversation About Your Retirement What-Ifs
Start a Conversation About Your Retirement What-Ifs
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What Independent Guidance Does for You
What Independent Guidance
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Stories from Others Just Like You
Stories from Others
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