Safety-First Retirement Planning - Wade Pfau Method

[141] - Everyone wants to feel a sense of safety with their retirement plan. That’s why Wade Pfau wrote Safety-First Retirement Planning to help you understand and prioritize safety in your retirement planning process.
In this episode, Jeremy Keil speaks with Wade Pfau, Ph.D., CFA, RICP, Founder of Retirement Researcher and professor of retirement income at the American College, about safety-first retirement planning. Wade details what safety-first retirement planning is and explains why it’s an important starting point for retirement planning.
Wade discusses:
→ What the 4 different retirement styles are
→ What a safety-first retirement plan is
→ Why delaying Social Security is the best annuity you can buy
→ His research about when to claim Social Security
→ How you can give yourself a better probability of success in retirement
→ How his retirement income dashboard helps people make retirement choices
→ And more
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Maximize Your Retirement Income!
Lower Your Lifetime Tax Bill
Avoid Mistake with Your Pension
Get the Most out of Social Security
Don’t miss out on the money you deserve in retirement - just because you got the timing wrong!
If you’re trying to find the answers to these questions:
- How do I get the most money out of my Social Security & Pension?
- How do I lower my lifetime tax bill?
- How do I turn my $500k+ retirement savings into retirement income?
Then schedule an intro call with the team at Keil Financial Partners:
calendly.com/d...
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Jeremy Keil, aka “Mr. Retirement” and Keil Financial Partners offer retirement planning services focused on retirement income and tax planning, Social Security and pension claiming decisions, health & life insurance analysis and estate planning strategies.
For important disclosures, see www.keilfp.com/important-disclosures

[@drumsnmore2545]

Delaying Social Security until 70 may make sense from an absolute financial sense, but the elephant in the room is how will social security change. All indicators seem to be it may have to become more “needs based” to remain sustainable, possibly affecting benefits for higher earners and complicating the decision as far as best age to apply for benefits.

[@MrRetirement]

How do you think it will change?

[@keithmachado-pp6fv]

Good video. I am deferring for the following reasons, none of which have anything to do with the break even, which I calculate to between 87 and 88 with a conservative 5% investment return.
1. Maximize the survivor benefit to offset the loss of one SS check and higher single tax rate.
2. Maximize income where at least 15% is not federally taxable and zero taxable in MA. The total tax will be 10% lower compared to IRA withdrawals.
3. Allow IRA withdrawals between 62 and 70 without triggering IRMAA surcharges and minimize future RMDs.
4. Protection against inflation or a market decline.

[@keithmachado-pp6fv]

One edit. On point #2 the tax rate is 10% lower (20% vs 30%). The taxes paid is 50% higher on IRA withdrawals.

[@MrRetirement]

Yes, right on!

[@MrRetirement]

Way to plan it out!

[@bradleyvanzile1111]

I’ve been retired 17 years. I did not have to go out of my way and make sure to save.

[@MrRetirement]

Setting up your savings automatically can be a big help!

[@johngill2853]

Instead of 4% use 3.8% currently
If I was confident of 3.8% would work I'd be confident that 4% would work.

[@MrRetirement]

Morningstar does a great research study that projects which percentage is the current 'safe-withdrawal rate.'
www.morningstar.com/retirement/morningstars-retirement-income-research-reevaluating-4-withdrawal-rule

[@dennismoore7935]

great talk, I don't think 50% stocks is easy in the upcoming years

[@MrRetirement]

It’s hard to say no to bond yields this high! Then again it was hard to say yes to cash on 12/31/21 and yet that was the best choice! Diversify and rebalance is key.