What It Means to Have Just Enough and How to Make It Work for You
Retirement is one of life’s biggest transitions, and for most people, it’s filled with one pressing question: Will I have enough?
Whether you’re a few years away or decades out, the uncertainty can feel overwhelming.
The truth is, there are three types of retirees: those who don’t have enough, those who have just enough, and those who have more than enough.
But here’s the challenge – most people don’t know which category they fall into. And it’s not your fault.
You’ve spent years saving, but no one teaches you how to turn those savings into a clear, reliable spending plan in retirement.
That’s where the struggle begins…
Let’s explore how Mr and Mrs Just Got Enough built a roadmap that gave them clarity and peace of mind for the years ahead.
Mr and Mrs Just Got Enough
- Ages: 63 and 61
- Joint Income: $200k
- Retirement Assets: $1.7m (included super/some shares and investment property)
- Debts: Approx $350k between home and investment property
Retirement Goals:
- Retirement income of $90k pa
- Two overseas trips at a value of approx $60k each
They weren’t looking for a flashy lifestyle – just the freedom to enjoy each other’s company and do what they want when they want.
But despite their hard work and savings, they had lingering doubts about whether their money would last.
They wanted clarity and confidence to make the right decisions and avoid costly mistakes.
To help Mr and Mrs Just Got Enough feel secure and in control, we used a proven framework which taps into over two decades of knowledge. It prioritised their goals, builds confidence, and gives them clarity over their retirement roadmap.
Retirement Vision
When most people think about retirement, they focus on the numbers. But the truth is, a fulfilling retirement starts with understanding what truly matters to you.
We have an exercise we take every couple through to help them get on the same page to set them up for a happy and fulfilling retirement.
What did that look like for Mr and Mrs Just Got Enough?
- Make Work Optional: After years of hard work and sacrifices, they wanted the freedom to choose whether to work or not. To make that happen they needed absolute confidence in their financial plan.
- Become More Active and Healthy: They knew that without good health, their dreams of an active retirement would be out of reach. Prioritising their well-being became a cornerstone of their plan, so they could enjoy life and keep up with the grandkids.
- Spend Without Guilt: They didn’t want to second-guess every purchase or feel guilty about enjoying their money. They needed a safety net and a clear understanding of their finances to spend with confidence.
- Feeling Confident In Their Numbers: Even with a solid nest egg, they had lingering doubts. They wanted to be absolutely sure they wouldn’t run out of money or make costly mistakes.
- Be More Socially Active: Retirement meant more time for family, friends, and community. But they needed to know their finances were secure to fully embrace this new chapter.
Have you thought about what a meaningful retirement looks like to you?
Retirement Feasibility
Figuring out if you’re truly on track for a comfortable retirement can feel overwhelming.
Many people rely on online calculators, but these tools often fail to account for the nuances of individual circumstances.
Mr and Mrs Just Got Enough, the key was cutting through the noise and getting to the heart of their numbers.
We ran several tailored scenarios to uncover their options and guide their decisions.
- Identified an Income Shortfall: Based on their retirement income needs and the investment property, they faced a significant gap around age 79, which would drastically reduce their income.
- Adjusted Lifestyle Spending: Reducing their income by $10k pa could extend their savings by five years, but still left a shortfall.
- Sell Investment Property: This option would meet their income needs until their early 90’s.
- Tiered Spending Plan: Aligning their spending with the phases of retirement: the go-go years (higher spending), go-slow (reduced spending) and the no-go years (comfort and stability).
With these scenarios, they gained clarity and confidence. They ultimately decided on a tiered spending plan and opted to sell the investment property earlier than planned to access the capital. After all, you can’t sell the garage to fund an overseas trip.
Have you explored all your options to ensure your retirement plan gives you the clarity and confidence you need?
Making A Resilient Retirement Plan
Building a resilient retirement plan starts with understanding that life rarely goes according to plan.
Once you’ve got a clear picture of your numbers, the next step is identifying the risks which could derail your retirement and put contingencies in place to protect your wealth and ensure it lasts.
While the future is uncertain, having a solid framework allows you to make confident financial decisions no matter what comes your way.
- Investment Risk: We ran multiple scenarios for Mr and Mrs Just Got Enough, ultimately landing on a strategy that reduced their risk while still providing a steady return over time.
- Cash Flow Plan: We designed a plan to ensure their money was available exactly when they needed it, giving them peace of mind.
- War Chest: We address a common blind spot: relying too heavily on a single investment option. By setting aside enough funds to cover several years worth of income, they avoided the need to sell growth assets when markets go down, preserving their wealth.
The truth is, retirement planning isn’t just about numbers – it’s about experience, foresight, and knowing how to navigate the unknown.
With over two decades of guiding retirees, I’ve seen firsthand how the right expertise can transform uncertainty into clarity and maximise lifestyle opportunities.
Have you considered how a tailored, expert-driven plan could help you confidently navigate your retirement journey?
Optimise
Optimising a retirement plan is about uncovering opportunities than many overlook.
For Mr and Mrs Just Got Enough, retirement was right around the corner, but there were still critical steps they could take to strengthen their position.
- Redesigned Portfolio: We redesigned their portfolio to align with their retirement needs, reducing unnecessary risk while ensuring steady returns. This is a common blind spot for many.
- Timing Investment Property Sale: We carefully timed the sale of their investment property to minimise tax implications, a move that could save them significantly.
- Boosting their estate: Without action, their estate would have handed over up to $180k as a gift to the ATO. By implementing a strategy within a specific window, we minimised the loss.
- Boosting income: We explored a lifetime pension strategy that could unlock hundreds of thousands in additional income as they approach age 67.
The truth is, most people leave money on the table because they don’t know what’s possible.
This not only reduces their retirement funds but often delays their ability to retire altogether.
Have you considered what gaps or opportunities might exist in your own retirement plan?
Retirement Roadmap
Mr and Mrs Just Got Enough now have the clarity they needed to confidently step into retirement.
With their structured plan in place, they’ve not only made the decision to retire but have already booked their first overseas trip – a dream they’re thrilled to finally make a reality. We’re thrilled for them to.
They no longer worry about whether they have enough or how much they can spend.
Instead, they have a clear framework to guide them through retirement’s twists and turns, given them the freedom to live the lifestyle they’ve always envisioned.
The truth is, having a structured process for retirement planning isn’t just about the numbers – it’s about creating clarity, confidence, and control over your future.
That’s exactly what we specialise in…
If you’re ready to take the guesswork out of your retirement and build a plan tailored to your unique goals, let’s connect.
Book a Retirement Clarity Call by clicking here, and let’s start building a roadmap to a secure and fulfilling retirement.
Glenn Doherty – CFP – Financial Planner | Retirement Planning Specialist |Retirement Planning Made Simple for over 55’s within 7 years of retirement
We work with people in Adelaide and around Australia virtually via zoom!
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Achieve some clarity and maybe a roadmap on how you can achieve a comfortable retirement.
Schedule hereAdvice Disclaimer: Any reference in this publication to the provision of advice refers to advice of a generic nature, and should not be taken as product or investment recommendations. Before any action is taken based on the information provided, independent financial advice from a licensed financial adviser should be sought. Financial Freedom Project Pty Ltd ATF GA & DC Doherty Family Trust Trading as Jigsaw Private Wealth is a Corporate Authorised Representative of Spark Advisors Australia Pty Ltd. The information contained in this publication is of a factual nature only and is not intended to constitute financial product advice. Information is current as at date of publication. This is an online information blog. It does not imply an offering of securities.