We’re exploring a crucial aspect of retirement planning that often goes overlooked – cash flow. Whether you’re close to retirement or already retired, understanding this strategy is essential. Let’s delve into this simple yet highly effective approach that can significantly impact your retirement success.

The Emphasis on the Number

Many financial planners stress the importance of reaching a specific monetary goal, like amassing $5 million. While having a target is reasonable, solely focusing on the number can lead to emotional insecurity. Fluctuations in your portfolio may cause anxiety, affecting your overall well-being.

Shift in Perspective

Smart retirees prioritize cash flow over the nest egg. By concentrating on cash flow, you gain greater contentment and confidence in retirement. Identifying your expenses and passive income sources, such as real estate or social security, forms the foundation for your retirement plan.

Two Cash Flow Strategies

Long-term Cash Flow Plan

Define your desired cash flow needs, considering future growth and inflation. Create a withdrawal strategy, investment plan, and tax plan to ensure financial security for you and your loved ones.

Short-term Cash Flow Buffer

Maintain a readily accessible buffer in your bank account, equal to one to three months of regular expenses. This allows for easy management of unforeseen expenses without dipping into emergency funds.


In your journey toward retirement, avoid getting fixated on a specific number. Instead, focus on cash flow planning, which will bring peace of mind and clarity to your future. By implementing these strategies, you can confidently embrace the next stage of your life and enjoy a fulfilling retirement.

Disclaimer: Since we don’t know your specific situation, none of this information should be construed as tax, legal, financial, insurance, financial advice, or other advice and may be outdated or inaccurate. It is your responsibility to verify all information yourself. This content is prepared for entertainment purposes only. If you need advice, please contact a qualified CPA, attorney, insurance agent, financial advisor, or the appropriate professional for the subject you would like help with. Streamline Financial Services, LLC or its members cannot be held liable for any use or misuse of this content.

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Disclosures: Securities offered through LaSalle St. Securities LLC (LSS), member FINRA/SIPC. Advisory services offered through LaSalle St. Investment Advisors LLC (LSIA), a Registered Investment Advisor. Streamline Financial Services is not affiliated with LSS or LSIA. LSS is affiliated with LSIA.