5 Key Strategies for Retirement Income Planning Beyond Social Security

Your Future Deserves More Than Just One Source of Income

When it comes to retirement income planning, one thing is clear—Social Security alone probably won’t cut it. While it’s a great foundation, it was never designed to be your only source of income in retirement. So, how do you build a retirement paycheck that lasts as long as you do?

That’s where we come in.

At B.I.G. Investment Services, we specialize in helping individuals and families across Delaware and Maryland craft sustainable, tax-efficient retirement income strategies tailored to their unique needs. If you’re nearing retirement or already there, this guide is for you.

Let’s dive into five smart, realistic, and essential strategies for retirement income planning beyond Social Security.

Retirement Planning Beyond Social Security: Why You Need More Than Social Security

Before we explore the strategies, let’s address the elephant in the room.

For many retirees, Social Security only covers about 30–40% of pre-retirement income. That leaves a big gap to fill if you want to maintain your current lifestyle, cover healthcare costs, travel, or simply enjoy peace of mind.

Whether you're just starting to plan or you're already retired, having multiple income streams is not just smart—it’s necessary.

1. Build Income from a Diversified Investment Portfolio

Diversify retirement income

Your investment portfolio is one of the most powerful tools for creating a sustainable retirement income—and it’s so much more than just cashing out shares.

To turn your nest egg into a reliable income stream, you need to think beyond short-term goals and focus on building a diversified portfolio that balances growth with stability. This way, your money can last as long as you do.

Your diversified portfolio might include:

• Dividend-paying stocks: These can provide you with regular income while still offering the potential for growth.

• Bonds: Known for their predictability, bonds can help stabilize your cash flow, especially during market downturns.

• Mutual funds or ETFs: These give you exposure to a wide range of investments, allowing you to adjust risk levels according to your needs.

• REITs (Real Estate Investment Trusts): Enjoy income from real estate without the hassle of being a landlord.

  
  

The key here is to find the right balance. Growth investments ensure your portfolio keeps up with inflation, while stable assets provide the security you need to withdraw funds with confidence.

Pro Tip: Work with a financial advisor to align your asset allocation with your goals, risk tolerance, and timeline. A well-planned portfolio can help you navigate retirement with peace of mind.

2. Consider Annuities for Guaranteed Income

Turn your retirement savings into a steady “paycheck” for life

When it comes to reliable income, few tools are as effective as annuities. While not everyone needs them, annuities can provide a guaranteed income stream, often for life—offering a sense of security to retirees concerned about running out of money.

Here’s how annuities work: You enter into a contract with an insurance company, and in return, they promise to pay you regular income. The specifics depend on the type of annuity you choose:

• Immediate annuities: Payments start as soon as you buy one.

• Deferred income annuities: Payments begin at a later date, offering flexibility for future income needs.

• Fixed indexed annuities: These provide some market-linked growth while protecting your principal.

  
  

Annuities are particularly helpful in covering essential expenses, giving you the freedom to invest the rest of your portfolio more aggressively for long-term growth.

Important Note: Annuities can be complex, with varying fees and terms. Always evaluate them carefully with a financial advisor to ensure they fit your overall plan.

3. Use Tax-Efficient Withdrawal Strategies

Keep more of your money where it belongs—with you

Did you know that withdrawing money from your retirement accounts in the wrong order can lead to unnecessary taxes? Without a strategy, you might deplete your savings faster than expected. That’s why a tax-efficient withdrawal plan is critical for making your money last.

Smart withdrawal strategies include:

• Roth IRA Conversions: Gradually convert traditional IRA assets into Roth IRAs to reduce future required minimum distributions (RMDs). This helps lower taxable income later in retirement.

• Qualified Charitable Distributions (QCDs): For those over 70½, donating directly from your IRA to a charity can help you avoid taxes on those distributions.

• Bucket Strategy: Divide your money into short-, medium-, and long-term “buckets.” This way, you can draw from the right account at the right time, minimizing unnecessary taxes.

  
  

Taxes in retirement can get complicated, but an experienced advisor can help you navigate the rules and maximize your income while keeping your tax burden as low as possible.

4. Plan for Longevity Risk

Make sure your money lasts as long as you do

One of the biggest challenges retirees face is longevity risk—outliving your savings. With people routinely living into their 80s, 90s, or even longer, your retirement income plan needs to cover 30 or more years of expenses.

How can you prepare for a longer retirement?

• Focus on inflation-adjusted income streams, ensuring your money maintains its purchasing power as costs rise.

• Keep a portion of your portfolio in growth-oriented investments to ensure it continues to grow over time.

• Delay claiming Social Security benefits if possible to maximize your monthly payouts—it could make a significant difference later in life.

• Consider longevity annuities, which start paying later in life, such as at age 80, to provide an additional safety net for your later retirement years.

  
  

Planning early for longevity risk ensures that you’ll have the financial resources to maintain your quality of life, no matter how long your retirement lasts.

5. Work with a Financial Advisor for a Tailored Retirement Income Planning

Simplify retirement planning with expert guidance

Retirement planning isn’t a one-size-fits-all process. Between unpredictable markets, changing tax laws, rising healthcare costs, and managing multiple income sources, it’s easy to feel overwhelmed. That’s why working with a financial advisor can be a game-changer.

At B.I.G. Investment Services, we specialize in helping retirees create custom strategies to turn their savings into reliable income. Here’s how we can help:

✔️ Develop a personalized retirement income plan tailored to your lifestyle and goals.

✔️ Create tax-efficient withdrawal strategies to help you keep more of your money.

✔️ Provide ongoing portfolio management to adapt to your evolving needs.

✔️ Offer guidance on evaluating tools like annuities, real estate, and other income options.

✔️ Coordinate all your income sources into one seamless, easy-to-understand plan.

Our goal here is simple: to take the stress out of retirement planning so you can focus on living the life you’ve worked so hard to build. Let us help you turn your years of hard-earned savings into a steady, worry-free income stream.

What Does a Retirement Income Plan Look Like?

Great question. A well-constructed income planning for retirement takes into account:

• Your essential expenses (housing, food, healthcare)

• Your discretionary expenses (travel, hobbies, gifts)

• All your income sources (Social Security, investments, pensions, part-time work, etc.)

• Inflation assumptions

• Tax implications

• Longevity estimates

  
  

We work with you to create a dynamic plan that adapts over time, provides for the unexpected, and gives you the confidence to spend without second-guessing.

Retirement Income Planning: It’s Never Too Late (Or Too Early)

Whether you’re a few years away from retirement or already there, the sooner you start planning your income strategy, the better. It’s not just about numbers—it’s about freedom, flexibility, and peace of mind.

Remember, you’ve worked hard to save for retirement. Now it’s time to make your money work hard for you.

Let’s Build Your Retirement Paycheck—Together

At B.I.G. Investment Services, we specialize in helping people across Delaware and Maryland create sustainable, strategic income plans that support a fulfilling retirement.

You don’t need to rely on Social Security alone.You don’t have to figure it all out by yourself.You just need the right guide and the right plan.

Let’s talk. Schedule a free consultation with one of our experienced advisors today and start building the income plan that supports your life—now and for decades to come.

Disclaimer

Investing in securities involves risks, including the potential for loss of principal. There is no guarantee that any investment plan or strategy will be successful. Boothe Investment Group, Inc. does not provide tax or legal advice. All information or ideas provided should be discussed in detail with an advisor, accountant or legal counsel prior to implementation.