Three Approaches to Retirement Income Planning
Retirement income planning is complex. Assets, portfolio allocation, expected withdrawals, risk tolerance, age, longevity, and changing expenses all play a factor in portfolio / retirement income sustainability. Due to this, it is highly advisable to work through various scenarios with retirement planning software using Monte Carlo analysis before proceeding with portfolio construction. The analysis will help you determine a successful course of action (guarantees, withdrawals, asset allocation, structure, etc.).