The Boldin Planner will automatically fund the expenses in your plan first using available Income such as work income, Social Security, and pensions. When your income does not meet your expense needs, the Planner will fund the remaining expenses by creating shortfall withdrawals in your plan.

Shortfall withdrawals are made up of distributions from savings accounts, investment accounts, and retirement accounts based upon your Withdrawal Strategy and Withdrawal Order.

One thing you may want to be aware of is that interest income is not used to fund expenses. So, it may appear that the income funds expenses, but you are also experiencing a net savings drawdown.

Another thing you’ll want to be aware of is that there may be years where you have shortfall withdrawals but no net savings drawdowns. Under the hood at Boldin, expenses are paid monthly, while our charting reflects annual amounts. So there are times when shortfall withdrawals are taken in January or February to pay expenses and taxes while not enough income has been received to fund those expenses. In this case, shortfall withdrawals are taken but replenished prior to year end when more income is received.

Learn more about savings drawdowns from Nancy in this video

There is a shortfall of $13,723 early in the year which is replenished by the end of the year.

Insights > Retirement Withdrawals

There is a shortfall early in the year of $13,723 which is replenished by the end of the year.

PlannerPlus users can look at the Surplus-Gap chart to see their income compared to expenses and any surplus or gap on an annual basis.

If the years where there are "Funded Gaps" or light red bars pointing downward which correspond with the savings drawdowns in question, you have an annual Net Savings Drawdown.

In the years where you see a saved surplus and a gap you are likely drawing on savings to cover expenses early in the year and do not have you have an annual Net Savings Drawdown.