{"id":2114,"date":"2023-11-20T08:57:33","date_gmt":"2023-11-20T08:57:33","guid":{"rendered":"https:\/\/evolvemyretirement.com\/blog\/?p=2114"},"modified":"2026-06-09T06:53:12","modified_gmt":"2026-06-09T05:53:12","slug":"already-retired","status":"publish","type":"post","link":"https:\/\/evolvemyretirement.com\/blog\/already-retired\/","title":{"rendered":"You’re Already Retired So Is It Too Late To Plan?"},"content":{"rendered":"\n

Most of us think of retirement planning as something we need to do long before we’re retired. And of course, that’s preferable, otherwise we might never find ourselves ready to retire. During our working lives, fresh earnings help with planning ahead. As long as we’re not on subsistence wages there are choices we need to make; and some choices are better than others for the long term.<\/p>\n\n\n\n

But once you’ve retired, what planning is there left to do? Perhaps more than you might have thought.<\/p>\n\n\n\n

Budgeting and spending<\/h2>\n\n\n\n

If you planned carefully before you retired, you may already have a reasonable handle on your essential spending. You may also have a reasonable estimate of the level of discretionary spending that was calculated to be sustainable, especially if you’ve been using our\u00a0Intelligent Retirement Calculator<\/a>. But circumstances change. Investments go up and down. We grow older, perhaps with some health issues. Our aspirations evolve. Sticking rigidly to a spending plan from years earlier may not remain appropriate as circumstances evolve.<\/p>\n\n\n\n

The EvolveMyRetirement\u00ae philosophy is that each day is the first day of the rest of your life. Five years ago you might have quite reasonably assumed that long-term inflation would average at 2%. Let’s say you now think the average will be higher, but your discretionary spending is still based on 2%. Then your discretionary spending would be higher than the model assumed, other things being equal.<\/p>\n\n\n\n

Minor changes in circumstances needn’t derail your spending plans. But major changes may prompt a fresh look.<\/p>\n\n\n\n

Investment risk when retired<\/h2>\n\n\n\n

According to conventional wisdom, many people gradually reduce investment risk leading up to retirement. This is based on the assumption that once retired you’ll buy an annuity with your entire retirement funds. But since Pension Freedoms<\/a> were introduced in 2015, annuities have fallen out of favour. Most people consider Pension Drawdown<\/a> as their default source of retirement income. This assumes that your retirement fund remains invested until needed. But low-risk investments alone won’t generate more long-term sustainable income than an annuity.<\/p>\n\n\n\n

Drawdown typically involves retaining some degree of investment risk, even after retirement. The right amount of risk at a given point in time depends on a number of factors, such as:<\/p>\n\n\n\n