Review your investments
Managing your portfolio after you retire takes careful planning and regular monitoring.
Investing in retirement isn't the same as investing for retirement. All the strategies you used to help you accumulate enough for retirement will likely need adjusting as you approach the next chapter of your life.
Managing your portfolio after you retire takes careful planning and regular monitoring.
Learn more about investing for retirement at Merrill
5 Guidelines for investing in retirement
Manage your expenses
Now that you are in retirement, you may need to fine-tune your plan based on your income and expenses.
Without a paycheck, you'll need to rely on other sources of income, most notably your savings and investments. Sticking to a budget has probably never been more important. Many of us will live 20 to 30 years in retirement, so it's important to keep a close eye on your spending.
Click through to learn more about what to look for as you monitor your finances.
To help you keep track of your expenses and make every dollar count, use the Bank of America Spending & Budgeting tool.
Try it out at Bank of America Better Money Habits
Item 1 of 4 selected
Interest rate trends & market moves
Interest rate trends and market movers may result in an increase or decrease in income from your savings and investments.
Item 2 of 4
Federal, state & local tax rates
If you relocate after retiring, you may encounter changes in federal, state and local tax rates and regulations, higher income or property taxes in your area.
Item 3 of 4
Inflation & health costs
Inflation and health care costs are two variables that can have an impact on living costs and your retirement planning assumptions.
Item 4 of 4
Life events
Marriage, the death of a spouse, the addition or loss of a dependent as well as lifestyle choices like how much you spend on travel and entertainment may also affect your cash flow.
DID YOU KNOW?
Your income needs and spending will likely change in retirement based on your age and priorities.
Make a plan with Merrill.
Retirement income can come from a number of different sources, in addition to Social Security, it may include pension and retirement accounts such as traditional or Roth 401(k) or 403(b) plan accounts and traditional and Roth IRAs.
When thinking about IRAs, you must consider RMDsFootnote 1 (required minimum distributions). Calculating RMDs can be tricky, especially if you have several retirement accounts. And you may be subject to an additional federal tax on the amount of missed or insufficient RMDs.
Different types of retirement income have their own tax treatments. Remember, every financial situation is unique, so you may wish to consult with a tax and/or legal advisor to get help.
Click through these tips for more insights.
Learn more about retirement account distributions
Item 1 of 4 selected
Use the calendar to your advantage
You generally can start taking withdrawals from an IRA or other qualified retirement plan accounts as soon as you turn 59½ without incurring a 10% additional federal tax for early withdrawals. Waiting longer could mean a larger nest egg to draw upon. Once you begin taking RMDs, you are required to take an RMD every year.
Item 2 of 4
Stick to the minimum if possible
Generally, your age and your account values determine what you are required to withdraw. You can take out more than required, but it's generally not a good idea unless you need the extra income.
Item 3 of 4
Remember all your retirement accounts
If you have multiple traditional IRAs and qualified retirement plan accounts, you must calculate your required distribution for each account. You don't have to withdraw from every traditional IRA as long as the money you take from one or more IRAs
Item 4 of 4
Consider our RMD Service
This service allows you to authorize Merrill to automatically calculate and distribute your annual RMD from your IRA to a Bank of America banking or Merrill investment account or an account at another financial institution.
Leave a legacy
Having a plan and reviewing it over time helps protect your loved ones and ensures your wishes are followed.
An estate plan spells out key details of how to distribute your assets to loved ones and the causes you care about in addition to naming who can oversee your healthcare and finances if you cannot.
Life events, such as birth or divorce can dramatically alter your intentions, which is why it's important to revisit your estate plan over time.
Learn about the basics of estate planning, essential plan documents and how to get started.
Learn more about estate planning
Item 1 of 4 selected
Greater control
An estate plan documents how your assets should be distributed, who will be the guardian of minor children, and who can oversee your healthcare and finances if you are unable to. Not having a plan gives those decisions to others.
Item 2 of 4
Fewer conflicts
Spelling out what should happen to your assets after you die and naming a trusted person to manage your care and finances if you are incapacitated may help minimize potential conflicts among your loved ones.
Item 3 of 4
Extra protections
Including a trust in your estate plan can potentially help reduce estate taxes and protect assets from creditors and divorcing spouses.
Item 4 of 4
Enhanced privacy
When you establish a trust in your lifetime, your assets can pass directly to your loved ones without going through probate, a court process that becomes part of the public record.
Estate tax is paid on the amount of the current net value of all your assets that exceed your remaining federal estate tax exemption at the time of death.
Our calculator can help your estimate what your estate tax liability may be. However, you should consult with a legal tax advisor.
How big is your federal estate tax bill?
Federal estate tax exemption in 2026
$15,000,000
Estate tax is paid on the amount of the current net value of all your assets that exceed your remaining federal estate tax exemption at the time of death. The net value is computed by combining the fair market value of all assets at the time of death and subtracting the total liabilities.
Item 1 of 2
My estate value is near or over the exemption and I would like to calculate my estate tax
Item 2 of 2
My estate value is less than the exemption, but I would like to get more information about estate planning