Many people assume that once they retire and start withdrawing money from their investments, their portfolio will gradually decline over time.
But that's often not what happens.
In fact, some retirees find themselves several years into retirement with more money than they had when they first stopped working.
In this video, I explain why that can happen and walk through three factors that are often working behind the scenes:
• Why retirement income needs are frequently lower than people expect
• How spending patterns tend to change throughout retirement
• The portfolio math that can allow assets to continue growing even while withdrawals are being taken
I also discuss why common income replacement rules can sometimes be misleading and why focusing on actual spending often leads to a much clearer retirement plan.
If you've ever wondered why some retirees get richer after they stop working, or whether you may have more flexibility than you realize, this video will help explain the math behind it.
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