Financial Planning for $750k+ Portfolios in Retirement in St. Louis, MO

Maple tree with fall leaves in a park

Schedule Your Complimentary Strategy Session Today

Financial Planning for $750k+ Portfolios in Retirement in St. Louis, MO

Retirees with substantial portfolios over $750,000 have unique needs when it comes to managing their finances in retirement. From generating retirement income to legacy planning, today's environment calls for specialized strategies. This comprehensive guide covers popular and unique planning approaches to enhance portfolios for high-net-worth retirees in St. Louis, MO.


Popular Retirement Planning Strategies

Treasury Bills. Use low-risk T-Bills to cover short term cash needs.

Bucket strategies. Segment assets for short, intermediate, and long-term time horizons. Adjust allocations based on market performance. This can help an investor make it through the eventual market downturn.

Dynamic withdrawal rates. Employ flexible formulas like the Guyton-Klinger rule instead of fixed 4% rate. Adjust withdrawals annually.

Ongoing tax planning. Continuously harvest losses to offset gains. Make Roth conversions in low-tax years.


Portfolio Management Approaches

Comprehensive monitoring. Revisit risk profiles, rebalance across asset classes, and stress-test annually. Watch for required minimum distributions.

Tax management. Offset gains with loss carryforwards. Use asset location strategies.

Cash flow synchronization. Structure portfolios to align income and growth to monthly or annual spending needs.

Legacy planning. Keep beneficiaries in mind. Evaluate Roth conversions, trusts, charitable planning, and gifting strategies. Remember, the lifetime gift tax exemption is set to be reduced by around 50% in 2026.


Unique Retirement Planning Strategies

Alternative investments. Incorporating alternative strategies, especially in today's challenging bond market, sets us apart.

Retirement transition accounts. Use IRA and taxable accounts as "buckets" before Social Security and RMDs begin.

QCD strategy. Make qualified charitable distributions from IRAs to fulfill RMDs and minimize taxes.

Long-Term Care. Consider Long-Term Care Insurance vs. a hybrid approach, such as life insurance with a long-term care rider.


Tax Planning for Future Rate Changes

An important tax consideration for retirement planning is the scheduled expiration of tax cuts in 2026. Under current law, tax rates on ordinary income, capital gains, and dividends will rise after 2025 to their pre-2018 levels. For instance, the top marginal rate is set to increase from 37% to 39.6%. Advisors should factor this pending tax hike into recommendations around Roth conversions, realized capital gains, and charitable giving over the next several years. Mapping out tax scenarios under both current and future expected rates can inform strategies to mitigate the impact when higher rates resume. Proactively planning for the 2026 sunset of tax cuts allows us to maximize clients’ after-tax income in retirement.


Navigating retirement requires experience managing substantial portfolios. Our team focuses on planning and portfolio strategies tailored to high-net-worth retirees, soon-to-be, and eventual retirees. To discuss how we can enhance your $750k+ portfolio in retirement, contact us today.

Remember, a successful retirement plan is not set in stone. It's dynamic, adaptable, and personalized. Regularly review your plan, consult with professionals, and adjust as needed to help ensure a comfortable and financially secure retirement.

Schedule Your Complimentary Strategy Session Today

*Investors should be aware that investing based upon a strategy or strategies does not assure a profit or guarantee against loss.