Page 9 - Palm City Spotlight - March '25

Palm City Spotlight, Page 9

fiNaNCial foCus ®

Key Decisions For Retired out of money later in your retirement. One common • Should you downsize? If you live in a big home and
guideline is to aim for an annual withdrawal rate of
your children are grown, you may find it economical to
Couples 4 percent, but everyone’s situation is different based downsize. Of course, this is also an emotional decision,
on age, pre-retirement income, lifestyle, health, travel but you may find that you can save money by moving
By Sally Sima Stahl, plans and other factors. (Once you turn 73, or 75 if you into a smaller home.
Edward Jones were born in 1960 or later, you will have to take certain • Where should you live? Some states are far more
Once you and your amounts, based on your age and account balance, from expensive to live in than others. You’ll want to weigh
spouse retire, you’ll have your traditional IRA and traditional 401(k) each year.) your decision carefully, considering the cost of housing,
some decisions to make – • When should you take Social Security? The answer to food, income and real estate taxes, transportation and
decisions that could affect this question depends on many factors, such as your age health care in whatever state you choose.
your quality of life in your and other sources of income. You can take Social Security • Have you finished your estate plans? If not, now is
retirement years. What are as early as age 62, but your monthly payments will the time. You’ll want to work with your legal professional
these choices? typically be bigger if you wait until your full retirement to create whatever documents are needed – a will, living
Here a few of the most age, which will be age 67 if you were born in 1960 or later. trust, power of attorney – to help ensure your assets
important ones: And if you can afford to wait even longer, your payments go where you want them to go, and that your financial
• How much should you will “max out” when you reach age 70. Your decision on and health care choices will be protected if you become
withdraw from your retirement accounts? By the time you when to take Social Security can affect your spouse – and physically or mentally incapacitated.
retire, you may have contributed for decades to an IRA vice versa. If the lower-earning spouse claims Social Of course, many of these same issues will apply if you
and a 401(k) or similar employer-sponsored retirement Security before their full retirement age – again, age 67 are single, divorced or widowed. But if you are married,
plan. But once you retire, you’ll probably need to draw – their own retirement benefit and any potential spousal you and your spouse will want to discuss all your choices
on these accounts to help pay your living expenses. benefit will be reduced. (Spousal benefits are given to and then decide which steps to take. Once you’ve got your
Consequently, both of you will need to be sure that you the lower-earning spouse if their full retirement benefit is plans in place, you may well find that you can fully enjoy
don’t withdraw so much each year that you risk running less than half the other spouse’s full retirement benefit.) your retirement years.
This article was written by Edward Jones for use by
your local Edward Jones Financial Advisor, Edward
Jones, Member SIPC.
Edward Jones is a licensed insurance producer in
all states and Washington, D.C., through Edward D.
Jones & Co., L.P., and in California, New Mexico and
Massachusetts through Edward Jones Insurance Agency
of California, L.L.C.; Edward Jones Insurance Agency
of New Mexico, L.L.C.; and Edward Jones Insurance
Agency of Massachusetts, L.L.C.
Edward Jones, its employees and financial advisors
cannot provide tax advice. You should consult your
qualified tax advisor regarding your situation.
Contact us at (561) 748-7600, Sally Sima Stahl, CFP ,
®
AAMS™, 1851 W. Indiantown Road, Ste. 106, Jupiter, FL
33458.