With stable, lifetime income streams from employer pensions and Social Security playing an ever shrinking role, retirement income planning demands that each individual accept a higher degree of personal responsibility for both accumulating and managing the assets needed to pay for retirement. And managing these assets has to be done in a world where constant inflation, fluctuating interest rates, and sometimes volatile financial markets are a fact of life. In addition, the extended life span means the money you save has to last longer, although exactly how long is unknown.

We see the transition to retirement as a time of shifting priorities. As the era of accumulating assets winds down, individuals’ expectations for their investment portfolios begin to change. Generating a monthly income to cover living expenses becomes the dominant concern. Retirement brings a change in mindset. Instead of “How much can I make?” the question becomes “How can I make it last?”