This is the core of your retirement income planning efforts, which is ideally addressed 7 to 10 years prior to your planned retirement start date. Also known as the “retirement red zone”. This is where you begin put your dream retirement into action. A shift in your investment strategy will begin to take place as you move towards safer allocations and income building strategies. Market fluctuations may have a larger impact during these years, so the proper blend of investments is paramount.

The Sustain Phase will include a review of:

• All your retirement investments
• Anticipated basic living expenses
• Lifestyle expenses
• Potential tax obligations
• Social Security benefits start date
• Any expected pension
• Required Minimum Distribution calculations for all qualified money,
• Retirement risk-profile
• Medical and estate planning needs
• Potential debt reduction prior to retiring.

Longevity planning tools will need to be put in place if not previously done. Careful attention is paid to determine your expected retirement cost of living with consideration to both your basic monthly living expenses as well as the cost of your desired lifestyle expenses and how the ongoing increase of cost of living may affect your future income requirements.

The goal during the Sustain phase is to prepare, grow yet preserve.