Will You Have Stable Retirement Income?
Develop Streams of Predictable Retirement Cash Flow.
The Economy Has Its Ups And Downs
Even when the economy is humming, you can be sure that the time will come when it will be dragging. You need protection so you can weather the bad times without panic or worry.
You need stability, and you need growth. Each is essential, and Oxford Financial Partners recommends that you have a bucket of money for each.
Why a Stability Bucket?
In essence, your Stability Bucket is there to provide your immediate income for five years so that you will not find yourself in a position of having to dump stocks when they are temporarily on fire-sales.
Each year, after you have withdrawn from the Stability Bucket the amount that you agreed you would need, we look at both of those buckets and ask, “Where are we now?” If the Growth Bucket is way up, we can harvest some gains from those investments.
We’ll clip some from here, some from there, and we can use those gains to help replace the money that you withdrew from the Stability Bucket for income. If, however, the Growth Bucket is having a terrible year, then we might decide not to sell anything. Why sell when the price is down?
Ready to learn more about what it takes to develop streams of predictable cash flow after you retire?
Download a free chapter of our book, Power of 5 Investing where we discuss building Five Years of Stability.
What's You'll Learn In This Free Chapter
- How to keep your retirement safe in an economic downturn
- How to plan for stability during retirement
- The power of developing streams of predictable cash flow
- What a 'Stability Bucket' is and why you need one