Real Wealth starts with Real Life. Don’t just plan your numbers. Plan your life.
At Kingsview Partners, we believe that retirement is more than just a financial milestone. It's a significant new chapter in your personal story, and an exciting opportunity to live life by design, not by default.
Through our unique 4D Client Experience – Design, Determine, Deploy, Develop – we create immersive, personalized financial plans that help you live your best life today while securing your tomorrow.
If you’re ready to Get Real about your retirement, ask yourself:
Can I Retire Early?
Why wait?
You’ve worked hard, saved and invested wisely, and stuck to your financial plan through the inevitable ups and downs of the markets, your career, and your life.
If you have the means and the vision, Kingsview Partners is ready to help you use your Real Wealth to build your bridge into retirement.
Medicare eligibility starts at age 65. Early retirees need to identify their best option for covering their healthcare needs:
If you make withdrawals from traditional IRAs and 401(K)s before age 59 ½, you will probably have to pay a 10% early withdrawal penalty – as well as income tax.
If you have an early retirement goal, work with your advisor on a budget, spending plan, and withdrawal sequence that will help you live your Real Life goals without incurring any unnecessary penalties.
We encourage all retirees to retire TO something, not just FROM work. Early retirees will have extra years, and maybe even extra decades, of time to fill. Reflect on why you want to retire early and how you’re planning to spend your Real Life in retirement.
It’s important to find an optimal withdrawal sequence that provides for your needs, minimizes your lifetime tax liability, and keeps your Real Wealth growing, such as:
However, every person is different, every Real Wealth plan is different. Your ideal withdrawal sequence will depend on what kinds of assets you have, what your personal needs are, and what goals you want to achieve in retirement.
In years when you will have lower taxable income, you’ll also pay lower taxes on conversions from tax-deferred accounts into a tax-exempt Roth IRA. Funds in your Roth account will grow tax free and will not be taxed when you make withdrawals later in retirement.
There’s no “right” or “wrong” time to take Social Security in and of itself. Making the most of your benefits requires a thorough analysis of several factors within the context of your overall Real Wealth plan:
Eligibility:Taxes: Up to 85% of your Social Security benefits could be taxable if you earn above thresholds that the IRS sets every year.
Married Couples
Medicare is not free. There are also some important gaps between what is and isn’t covered that new retirees need to familiarize themselves with.
Eligibility: The first day of the month you turn 65.
Open Enrollment: From October 15 to December 7 of every year, you can change your Medicare plans for the year ahead.
The A, B, C, Ds:In recent years, the government raised the ages for RMDs so that seniors have more time to grow their nest eggs.
RMD Ages by Birth Year
Your First RMD: By April 1 of the year following the year in which you reach your RMD age.
Applicable Accounts
Roth IRAs: While Roth IRAs do not have RMDs, beneficiaries may have to make RMDs from an inherited account.
Calculating RMDs: According to the IRS, “The required minimum distribution for any year is the account balance as of the end of the immediately preceding calendar year divided by a distribution period from the IRS’s ‘Uniform Lifetime Table.’” In other words, let your financial advisor help you calculate.
Taxes: RMDs are considered taxable income.
The Penalty: If you fail to take an RMD in a given year, you may be subject to a 25% excise tax on the amount that you should have withdrawn.
Qualified Charitable Distributions: Once you reach age 70 ½ you are allowed to make contributions from your retirement accounts directly to a qualified charity. These QCDs count against your RMD for the year but do not count as taxable income, thereby reducing your tax liability on your RMD.
Last Will and Testament explaining your last wishes and how you want your estate to be distributed to beneficiaries.
Power of Attorney authorizing a person you choose to act on your behalf if you are alive but incapacitated.
Healthcare Directive explaining how you want to be cared for in the event that you become incapacitated.
Living Will designating a person you chose to be in charge of making important medical choices on your behalf if you are unable to.
As long as you are still living and mentally capable you can change your legacy plan at any time.
At least every year, we review our clients’ legacy plans and ask them:
Just because you’re financially ready to stop working doesn’t mean you’re emotionally prepared. Ask yourself:
How am I going to fill my time during a typical week in retirement?What are my big “bucket list” goals? Have I budgeted for them?
Will my new retirement schedule fill me with purpose?
Am I on a similar retirement timeline as my spouse, friends, and family? If not, with whom am I going to spend my time?
Do I have any health concerns or issues with my family history that could affect my healthcare needs later in retirement?
Click here to contact Kingsview Partners and let’s start Getting Real about your retirement.
Before making any retirement decisions, take time to reflect on your Real Life goals—not just your finances. Consider your ideal lifestyle, healthcare needs, Social Security strategy, withdrawal sequence, and legacy plans to ensure your retirement aligns with what truly matters to you.
If you’re unsure how to connect your Real Wealth to your Real Life, reach out to Keith Demetriades, CFP®, CKA®, a financial advisor specializing in Boeing retirees, for personalized guidance and a plan tailored to your retirement vision.