RETIREMENT CHECKUP

SWEAT the BIG STUFF

Michael Kitces, 39, is director of wealth management at Pinnacle advisory Group, which oversees $1.8 billion, and also the author of nerd’s eye View, a blog delivering data-rich advice to financial advisors. Here’s our translation of his retirement theories:

MILLENNIALS

beware lifestyle creep. Plan on saving half of your raises. if you don’t, you’ll wind up at age 66 with expensive tastes and meager assets.

Pre-retirees

Your big danger is a market crash just before or just after you quit working. lower it by lightening equity exposure in the years leading up to retirement. if you’re still in good shape a decade later, move some money back into stocks.

retirees

When stocks are richly priced, as they are now, it’s okay to increase the bond ballast in your portfolio. reducing volatility can kick up your safe withdrawal rate (even if it reduces your likely return).