Crafting Retirement Income that is Stable, Secure, and Sustainable

Abstract

In retirement planning, advisors should consider a logical, definitional based framework as convictional where empirical, evidence-based information is not available or is unclear. This paper presents a 3-S model framework for retirement income. The 3-S model seeks retirement income that is simultaneously stable, secure, and sustainable.

Categorizing income sources for retirement as Agreement-based (Time Bound 3-S), Mortality-based (Risk Pooled 3-S), or Historically based portfolio income (Probabilistic 3-S). This paper asserts that any of these three categories is definitionally capable of offering stable, secure, and sustainable retirement income.

Keywords: Retirement Planning, Personal Finance, Safe Withdrawal