Running the Numbers Before Retirement

You are close to retirement, but you have not run the numbers. You are not alone. Many people reach their late 50s or early 60s with savings, pensions, and a rough idea of what life might cost, but no clear picture of how it all fits together once the salary stops. This is the moment when the questions hit hard.

The steady income you relied on for decades is about to end. Contributions stop. The push to grow your portfolio slows. For thirty years the goal was simple: build. Now the goal shifts to spend, protect, and stretch your savings across the rest of your life. It is exciting. It is uneasy. And it demands a plan.

Retirement is a Medical-Style Diagnosis

Think about how you handle a medical prognosis. You never accept only one opinion for something serious. You get a second opinion. You want confirmation that the first diagnosis is accurate. You want clarity, not guesswork.

Retirement planning is no different. Someone may hand you a nice binder or a long PDF and call it a plan. It looks tidy. The charts slope up. The tables look smooth. But it is static. It only works if every assumption plays out. Markets rise at the expected rate. Inflation behaves. Your spending does not change. No surprises. That is not life.

The moment you receive a static plan, it is already outdated. You need more than a snapshot. You need a second opinion. You need a real optimization that shows how your retirement holds up when the world does not follow the script.

The Transition That Catches Everyone Off Guard

When you start saving as a young adult, you learn discipline. Every year you put money aside. You skip things to build your future. You track your net worth and feel proud when it rises. That routine becomes part of your identity.

Then retirement approaches. Suddenly the habits you built for decades shift overnight. Instead of adding to your portfolio, you are about to pull from it. Instead of rising balances, you may see flat years or down years. The psychological shift is real. You are moving from accumulation to decumulation, and it shakes people more than they expect.

That is why running the numbers matters. Not later. Now.

What If the First Year Is a Recession

Here is the question many avoid: what happens if your first year of retirement is a bad market year? What if your portfolio drops 30 percent overnight? Does it mean you cannot retire? Does it mean you need to return to work? Or does your plan hold steady even through a downturn?

You need to know the answer before it happens. You need a plan that shows whether your savings can absorb shocks. You need to see if you have a shortfall at any point across your life. You need to know how flexible your spending can be without putting your future at risk. Guessing is not a strategy.

One Plan Is Nice, but a Second Plan Shows the Truth

A single projection gives false confidence. A second opinion shows the range. In medicine, that range guides treatment. In retirement, it guides your life.

With the right tools you can run your base plan, then hit it with stress tests.

• What if markets stay flat for five years.
• What if inflation is higher.
• What if returns are lower.
• What if you spend a bit more on travel early in retirement.

You see the outcomes. You see where problems appear. And you see how small adjustments fix them.

This is what a real retirement plan should give you: peace of mind built on facts.

CPP and OAS Are Not Simple

Another point that catches people off guard is government benefits. When should you start CPP and OAS? People throw out generic advice, but this is not a one-size problem. Delaying can increase your lifetime benefits, but that is only true if it fits your bigger picture.

Maybe taking CPP early gives you a surplus you do not need right away. You could use that surplus to keep maxing out your TFSA instead of pulling from savings. That extra growth could give you more comfort later in life. Or maybe delaying CPP makes your withdrawal strategy far more tax efficient. You only know by testing it.

This is another reason a second opinion matters. You need to compare outcomes, not rely on rules of thumb.

RRSPs Looked Simple. Now They Get Complex

During your working years RRSP contributions felt great. You reduced taxable income and invested for the future. But now the reversal begins. It is time to withdraw your own money, and it is not all yours. Every dollar comes with a tax cost. The order you withdraw from accounts and the timing of your withdrawals will shape how long your savings last, how much tax you pay, and how stable your retirement years feel.

You cannot leave this to chance. If you are approaching retirement, it is time to run the numbers. A full plan. A second plan. An optimized plan.

The Message Is Simple

You are about to enter a new phase of life. You have worked for decades to reach it. Do not go in blind. A static plan gives comfort. A second opinion gives truth. And an optimized plan gives confidence that you can handle recessions, market dips, inflation swings, and real life.

Retirement should feel exciting, not fragile. Clarity creates that feeling. And clarity comes from doing what you already know is wise: check the numbers, stress test them, and compare your first plan to a stronger second one.

This is your next chapter. Build the confidence to enjoy it.