Where will your income come from?
Evaluate your own income sources (taxable)
- Annual pension from current and past employers
- Annual Social Security benefit, depending on when you can retire
- Annual payments from any annuities you own
Inventory your own potential income sources
I. Taxable Income Sources and Their Current Value
- Real estate
- Part-time income
II. Tax-Deferred Income Sources and Their Current Value
- 401(k), 403(b), 457
- Traditional IRA
III. Tax-Free Income Sources Current Value
- Roth IRA
- Life insurance (cash value)
- Municipal bonds
THINGS TO CONSIDER
- To get an estimate of your personal income benefit from Social Security when you retire, go to: www.ssa.gov
- If you have a pension, call your benefits manager for a pension estimate.
- Some sources suggest it may be preferable to spend principal from after-tax savings first, and then draw down proceeds from an IRA or company-sponsored plan.