Can I Retire During a Volatile Market?
Vice President, Wealth Management Advisor
Kentucky Retirement Planning Tips
If you’re thinking about retiring and the markets are swinging wildly, you’re not alone in wondering: “Can I afford to retire during a volatile market?”
At WealthSouth, we help Kentuckians navigate this very question every day. Whether you’re in Bowling Green, Danville, Lexington or anywhere in between, the answer depends more on your retirement income strategy than on short-term market headlines.
We’ll break down what volatility means for your retirement, and how you can retire confidently – even when markets are unpredictable.
What Does Market Volatility Mean for Retirement?
Market volatility refers to large or frequent swings in stock prices. It’s driven by economic news, inflation, interest rates, global events and investor behavior.
For retirees, this matters because:
· You may need to withdraw from your investment portfolio during downturns.
· You could feel pressure to make emotional decisions at the wrong time.
· Your retirement timeline might feel more uncertain than before.
But here’s the truth: Volatility is normal. It doesn’t have to derail your plans – if you’re prepared.
Retirement Is a Multi-Decade Journey
One of the most common retirement misconceptions is that your finances need to be “perfect” on the day you stop working.
In reality, retirement planning is about sustaining your lifestyle for 20 to 30-plus years. That means having a dynamic plan that adjusts with market changes, inflation, taxes, and healthcare needs.
Sequence of Returns Risk: Why It Matters
Retiring into a down market can be more damaging than a poor average return over time. That’s due to something called sequence of returns risk – when portfolio withdrawals during early downturns reduce future growth potential.
We help clients manage this risk through:
· Bucket strategies (cash for near-term needs, growth for later years)
· Flexible spending plans (increase or decrease withdrawals depending on performance)
· Social Security timing and guaranteed income strategies
Focus on What You Can Control
You can’t control the markets—but you can control:
· Your spending plan
· Your asset allocation
· Your withdrawal rate
· Your retirement timing
· Your income sources
By aligning these with your goals, you can retire with confidence—regardless of market conditions.
Kentucky-Specific Retirement Considerations
Living in Kentucky comes with some advantages:
· Lower-than-average cost of living
· Affordable housing
· No state income tax on Social Security
· Access to trusted local advisors like WealthSouth
Because our team is local, we understand the retirement landscape here (Click here to check out our Kentucky Retirement FAQs). Whether you’re a retiree from the horse industry, education, small business, or healthcare, we tailor retirement income plans that reflect your unique lifestyle and goals.
Final Thoughts: Yes, You Can Retire During a Volatile Market
Retiring during market volatility isn’t about picking the “perfect” time. It’s about having a resilient plan and a trusted advisor who helps you adapt over time.
At WealthSouth, we specialize in retirement planning for Kentuckians. If you’re nearing retirement and unsure about what today’s market means for your future, let’s talk.
Ready to Take the Next Step?
Schedule a Retirement Readiness Review Attend a “Retirement Planning Today” seminar near you Get a second opinion on your retirement income plan.
We’re excited to speak with you and discuss how we can assist. Reach out to one of our advisors at WealthSouth.