[Retirement income](https://wealthhabits.com/resources/)

# Turn the wealth you’ve built into retirement income.

Social Security, investments and other income can each play a part. Build a mix that supports the life you want and the choices you want to keep.

[Explore the income sources](https://wealthhabits.com/resources/retirement-income-plan/#benefits) [Talk through your plans ↗](https://wealthhabits.com/meeting/)

With [Gabriel Kaplan, CFP®, CPA](https://wealthhabits.com/gabriel-kaplan/)

Different sources. One retirement life.

Select a source to explore how it works.

## You don’t need every source. You need a mix that fits.

Some income arrives as a benefit or payment. Some comes from drawing on the wealth you’ve built. The plan connects both to your spending, risk and flexibility.

## Where will your income come from?

Explore five ways to fund retirement. Each has a different role, and each comes with choices.

[See how planning and investments connect ↗](https://wealthhabits.com/investment-management/#retirement-income)

**Social Security and pensions** A foundation of benefit income.**

Social Security provides monthly retirement benefits based on your earnings record and claiming decisions. A pension may add payments under an employer’s plan. Start with your own benefit estimates and the options your plan offers.

**The tradeoff:** When payments start, whether they change with inflation, and what continues for a surviving spouse can affect the whole household. Social Security and pensions have different rules; review each on its own terms.

Compare claiming dates and pension payment options alongside the withdrawals you would need from savings. [Explore Social Security’s retirement planning guidance](https://www.ssa.gov/retirement/plan-for-retirement).

**Portfolio withdrawals** Create cash by selling investments.**

Your portfolio can fund spending through planned sales of investments, as well as the interest and dividends it pays. A total-return approach considers both investment income and changes in value.

**The tradeoff:** Withdrawals reduce the assets available for future spending. Market losses early in retirement can make that more challenging. The amount, timing and flexibility of withdrawals matter.

Connect the investment mix to your time horizon, near-term cash needs and willingness to adjust spending. Review which accounts to draw from and the tax effects before selling. [Investor.gov explains investment mix and risk](https://www.investor.gov/introduction-investing/getting-started/asset-allocation).

**Interest and dividends** Use payments from the investments you own.**

Cash deposits and bonds can pay interest. Stocks and funds may pay dividends or distributions. Those payments can support spending instead of being reinvested.

**The tradeoff:** Payments can change. Dividends can be reduced, borrowers can default, and new investments may offer different interest rates when existing holdings mature. A higher yield can come with greater risk.

Review the portfolio as a whole. You do not need to hold only dividend stocks or bonds to create retirement income. Avoid counting the same interest or dividends both as a separate income source and inside a planned portfolio withdrawal. [Read about stocks and dividends](https://www.investor.gov/introduction-investing/investing-basics/investment-products/stocks).

**Annuities** Exchange money for contractual payments.**

An annuity is a contract with an insurance company. Depending on its terms, it may provide payments for a set period or for life. Different annuities serve different purposes; not every contract provides the same income features.

**The tradeoff:** Fees, surrender charges, access to your money, inflation and survivor provisions all deserve review. Guarantees depend on the insurer’s financial strength and the contract’s terms.

**Work, property and business income** Add sources that fit your circumstances.**

Part-time work, consulting, rental property or a business interest may contribute to retirement income. These sources can also keep you connected to work or activities you value.

**The tradeoff:** Income may vary or require your time. Property can bring vacancies, maintenance and financing costs. A business distribution or eventual sale may be less certain than expected.

Plan with net cash after expenses and taxes. Keep uncertain income in a separate scenario so the plan shows what changes if it arrives later, is smaller, or does not arrive.

Build the plan around your life.

**Cover the essentials**

Compare expected income with the costs that need to be met.

**Keep room to choose**

Plan for travel, family support and expenses you can adjust.

**Review as life changes**

Revisit withdrawals, investments and income assumptions together.

## How Wealth Habits helps

I help connect retirement income decisions with your financial plan and investment portfolio. That means comparing income sources, reviewing the gap savings must cover, and coordinating withdrawal and investment decisions.

My CPA background supports the tax review. Your spending needs, retirement goals and room to adjust set the direction.

Your selected engagement defines the scope. Standalone investment management excludes the financial plan. [Compare current plans and fees](https://wealthhabits.com/pricing/) or explore [investment management](https://wealthhabits.com/investment-management/).

## Make the next chapter work for you.

Bring your questions. We’ll talk about your goals and whether Wealth Habits is a fit. Your selected engagement defines the scope.

[Book an intro meeting](https://wealthhabits.com/meeting/) [Explore plans and fees ↗](https://wealthhabits.com/pricing/)

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Source: [https://wealthhabits.com/resources/retirement-income-plan/](https://wealthhabits.com/resources/retirement-income-plan/)

Wealth Habits is a fee-only, fiduciary financial planning and investment management firm. We are compensated only by our clients, never by commissions, and we are held to a fiduciary standard to act in your best interest at all times.

Derastone LLC dba Wealth Habits is a registered investment adviser. Review our Form CRS and Form ADV at adviserinfo.sec.gov.