The Critical 10

Key steps to take in the 5 years before and after retirement

Making smart investment choices is important at any stage in life, but it’s especially crucial during the five years before and after your retirement. The decisions you make during this decade can have a significant impact on your retirement lifestyle and financial security.

Why is the Critical 10 period so important?

This decade is pivotal because it encompasses the transition from a steady income to relying on your retirement savings. Mistakes or missed opportunities during this time can have lasting effects, making the expert financial guidance we provide more valuable than ever.

Here are some key considerations as you look ahead to retirement.

Assess your retirement goals

Steven Covey is famous for coining the phrase “begin with the end in mind”. Having a vison of your retirement goals can help create the path you need to take to support those goals.

Consider questions like:

What kind of lifestyle do I envision in retirement?
Where will I live?
Will I continue to work part-time, or pursue new hobbies?

Estimate retirement expenses

How much money you need in retirement depends on your goals and your retirement lifestyle.

Think about your:

Daily living costs (housing, food, utilities)
Healthcare expenses and potential long-term care needs
Travel and leisure activities

Review and adjust investments

Work with us as you approach retirement to review and adjust your investment portfolio to manage risk. Together, we may consider:

Reducing exposure to high risk investments
Increasing holdings in more stable, income-generating assets
Ensuring a balanced mix to provide growth potential and income stability

Get the right financial advice

We’ll create a tailored strategy that aligns with your retirement goals, risk tolerance and financial situation. Together, we’ll assess your current assets, liabilities, income sources and expected expenses in retirement, balanced with market volatility and the potential impact of economic conditions.

Critical 10 Guidebook: Questions and strategies to guide you through

We have developed a Critical 10 Guidebook for clients that will walk you through key decisions regarding your portfolio, estate and tax planning needs, and philanthropic giving plans – one year at a time.

It contains five key questions for each year of the Critical 10, such as:

Five years before retiring
Have I built a strong enough personal balance sheet to fund my transition into retirement?

Four years before retiring
How will my family and I be protected financially if I must stop working before my anticipated retirement date?

Three years before retiring
Does my asset mix reflect my growing need for capital preservation and income?

Two years after retiring
Is my withdrawal rate sustainable?

Four years after retiring
Do I want to start a living gift program now so I can see my beneficiaries enjoy what I can give?

Talk to us

Ask us about the Critical 10 Guidebook. Let’s develop a plan that ensures you’re prepared for retirement – whatever your timeline.