Ask an Advisor: How Much Can I Safely Withdraw at Age 63? I Have $1 Million Plus $75k in Cash and Gold and a Small Pension

Core Insights - The individual plans to retire at age 63 with a combination of guaranteed income sources and portfolio withdrawals [1][5][6] - The guaranteed income includes a monthly pension of $400 and Social Security benefits estimated at $2,700, totaling $3,100 per month, which could drop to $2,425 with a 25% reduction [5][6] - The 401(k) balance is over $1 million, with a current average return of 7%, but plans to shift to more conservative investments, which may lower future returns [1][6][7] Guaranteed Income - The guaranteed income sources consist of a $400 monthly pension and Social Security benefits of $2,700 per month, providing a total of $3,100 monthly [5] - If a 25% reduction in Social Security occurs, the total guaranteed income would decrease to approximately $2,425 per month [5] Portfolio Withdrawals - The 401(k) can be a source for withdrawals, with the 4% rule suggesting an initial withdrawal of about $40,000 in the first year of retirement, equating to roughly $3,300 per month [6][7] - This withdrawal strategy aims to ensure the portfolio lasts at least 30 years, adjusting for inflation in subsequent years [7]