What is Boldin’s Spending Guardrails Insight?
A key objective in financial planning is ensuring you can meet your goals and obligations with confidence and Boldin’s Spending Guardrails Insight helps you do just that—it estimates how much you can safely spend in retirement.
Case Study
View this video to see how Chris and Amy got started on the path to financial security with Boldin’s Spending Guardrails Insight.
Find Out What You Can Safely Spend
Get clarity on how much you can spend while ensuring that your portfolio can support your financial aspirations and sustain withdrawals over time.
Boldin’s Spending Guardrails Insight estimates a monthly safe spending target designed to last through most retirement scenarios with about 80% confidence.
Evaluate and Adjust Your Planned Spending
Use the safe spending target to assess your current and projected spending with your safe spending amounts in mind.
You may be pleasantly surprised to learn that you can safely increase your retirement spending. Or, you may get an indication that you need to modify your spending plan to guarantee financial security.
Either way, this new feature empowers you to make informed decisions around your spending as you continue to plan.
Spending Adjustments
This insight also provides you with potential spending adjustments.
If conditions turn out better than expected, you may be able to increase your spending.
If conditions turn out worse than expected, you may need to decrease spending.
Technical Details
Safe Spending Start Date
If the primary user is not yet retired, the Spending Guardrails begins at Retirement age. If the primary user is already retired, the Spending Guardrails begins this year.
Safe Spending Target
includes your recurring lifestyle expenses from retirement age to goal age and excludes taxes, debt (mortgage and non mortgage), and one-time events. Those items are handled separately by the software.
Your Planned spend
is calculated as the average of your recurring monthly expenses from retirement age to goal age and excludes taxes, debt (mortgage and non mortgage), and one-time events.
Your planned spend may not match your current expense display due to the fact that the summary includes only payments which are active today, not those beginning on future dates.
Probability of Success
The internal algorithm uses target probabilities of success (e.g., 80% target, 70% lower, 95% upper) to calculate spending amounts and guardrail thresholds.
Rest assured that taxes, debt (mortgage and non mortgage), and one-time events are included in the Chance of Success calculation.
Note: The Guardrails Insight always runs on your Average Forecast.