Morningstar’s Christine Benz: You May Be Spending Too Little in Retirement

Morningstar’s Christine Benz: You May Be Spending Too Little in Retirement Christine Benz: How to Spend More in Retirement Without Ignoring the Risks Morningstar’s Christine Benz: 3.9% Is Not the Target Is Morningstar’s 3.9% withdrawal rate your retirement spending limit? Christine Benz, Morningstar’s director of retirement research, joins Erin Talks Money to explain what that number actually means—and why flexible retirement withdrawal strategies may allow you to spend more. We discuss how much you can spend in retirement, why the 4% rule isn’t a personal spending ceiling, and how to turn your retirement portfolio into a paycheck. Christine explains how adjusting withdrawals when markets struggle can support higher initial spending, while cash reserves and the retirement bucket strategy can help you avoid selling stocks during a downturn. We also explore when to reduce portfolio risk before retirement, delaying Social Security, planning for long-term care costs, and giving money to family while you’re alive. And we address the emotional challenge so many lifelong savers face: feeling afraid to spend, even when their retirement savings are in good shape. If you’re approaching retirement or wondering whether you’re spending too little, this conversation will help you understand the tradeoffs behind a retirement income plan—and make room to enjoy the money you worked so hard to save. Feeling unsure about your financial future? My team at Root Financial can help: https://learn.rootfinancial.com/erin Connect with me on LinkedIn for charts & daily retirement insights:   / erintalksmoney   Some of my favorite books: https://amzn.to/3KF3tlr Camera & equipment I use: https://amzn.to/3Z20lof Join the family & subscribe to my channel here:    / erintalksmoney   Thanks for watching, I appreciate you! Advisory services are offered through Root Financial Partners, LLC, an SEC-registered investment adviser. This content is intended for informational and educational purposes only and should not be considered personalized investment, tax, or legal advice. Viewing this content does not create an advisory relationship with Root Financial. We do not provide tax preparation or legal services. Always consult an investment, tax or legal professional regarding your specific situation. The strategies, case studies, and examples discussed may not be suitable for everyone. They are hypothetical and for illustrative and educational purposes only. They do not reflect actual client results and are not guarantees of future performance. All investments involve risk, including the potential loss of principal. Comments reflect the views of individual users and do not necessarily represent the views of Root Financial. They are not verified, may not be accurate and should not be considered testimonials or endorsements.