Paragon Wealth Blog Step 2 of the 4-step Planning Process to YOUR Retirement Income Plan: Understanding Different Withdrawal Methods

With your nest egg goal clearly defined, you are ready to move on to Step 2: figuring out how much money to take out and deciding what method is best suited. To determine which method is appropriate, we first need to know what methods are available. As it turns out, there are three methods that we will be covering among a number of withdrawal strategies that are available: 1) Budget Shortfall, 2) Portfolio Income and Gains, and 3) "Safe" Withdrawal Rate. Let's take a closer look at each of these methods so that you can understand how to apply them to your overall retirement income goal.