Everyone wants one clear number for retirement spending, but the right answer depends on your plan. Joseph Hardeman and Deanne Rosso discuss why rules of thumb like the 4% rule are only a starting point, and how guardrails can help you spend with confidence through changing markets.Want to know what’s realistic for your situation? Visit elevate-wealth.com and click Let’s Talk.🔗 Website: https://elevate-wealth.com🔗 Facebook: / elevatewealthadvisory 🔗 Instagram: / elevatewealthadvisory Subscribe to our channel and hit that notification bell 🔔 to stay updated on the latest investment strategies and financial planning tips!

The big question in retirement: how much can I safely spend each year? Let's talk about it today on Elevate Wealth. Hello, I'm Joseph Hardeman with Elevate Wealth Advisory, and I'm here today with Deanne, our president and CEO. Deanne, thank you for joining us. I'm glad to be here, Joseph. Deanne, I feel like everyone wants a number. Like, just tell me how much I can spend. Yeah, that's a big question, you know, what's my number? And you hear this on TV commercials and things, too, like "do you know your number?" It's realistic, right? Because people want clarity. They want to know what to expect. But the reality is: your number is going to be very different from your neighbor's number, and from your brother or your sister's number. So it really all depends on your lifestyle, and your savings rate, and what you have built up in that nest egg for retirement. Now, people hear a lot about the 4% rule. How do you talk to clients about that? We definitely use 4% sort of as a rule of thumb or as a starting point. We want to make sure that, you know, the nest egg that you've built, all those savings that you've built up, that you're not going to overspend. And sometimes that 4% is like a nice safe withdrawal rate. But again, it all depends on your personal situation. It depends on how those funds are invested. And how inflation pans out, and are your funds going to grow to outpace inflation? And so 4% is a is a good rule. It's a good rule of thumb. But I think that number could be higher or lower just depending on your personal situation. Now, what about if a client comes to you saying they're worried they'll spend too much early on? Yeah, I think, you know, that's an another great scenario. People I think do worry about spending too much early on, because when you first retire there are things you want to do, things that, travel maybe that you've been planning since your pre-retirement days. Things like that. And so what we want to do is, we want to build the plan with guard rails, right? We want to make sure that all the things that you want to do are incorporated into that plan so we know how much you're going to spend at certain phases in life, or at least we're somewhat certain. And then we can make adjustments over time. Maybe there are certain years when you don't need to spend as much. Maybe there are other years when you'll have more expenses that are needed...just for home upkeep or things like that. So, we just want to make sure that we've planned for all of these contingencies. Like I said, put those guard rails in place, because the last thing you want is to feel like every retirement spending decision is a gamble. You want to have a little bit more clarity on that. I like that. Guard rails. If you want to know what a realistic spending plan looks like for you in retirement, visit us at elevate-wealth.com and click let's talk. I'll see you next time.