Additional Income Streams to Secure Your Retirement

Retirement security is a serious financial matter. No one is really sure how financially stable they will be when they reach retirement age. If the goal is to retire comfortably after a life spent at work, you should start planning your retirement now.

On our path towards a more secure retirement, income streams and investments play an important role. They can all help maximize your future finances when we use them wisely. Proper advice from a financial advisor can help.    

Practical Sources of Income

Additional income can take the form of consultant work or project-based work using your extensive experience and skills. While retirement may mean leaving your main job, it doesn’t mean you can’t accept part-time or freelance work anymore.

Besides various types of part-time employment, investment properties, such as apartments, houses, or condominium units can play a part in providing an income stream during retirement. You can rent them out in the traditional way or use services like AirBNB to provide more flexibility and perhaps more engagement with your renters.  

Either way, both approaches provide passive income. Investment properties are often built up over time so if this type of investment sounds appealing to you, start purchasing properties prior to retirement so you can use rental income to pay off the mortgage over time.  An experienced financial advisor can help strategically incorporate this income stream into your retirement plan.

Home Equity Lines of Credit and Reverse Mortgages are other possible income sources, but can carry some serious risks if not managed properly.  These are often best used as a last resort if all other assets have been depleted.

Investment Plans for Retirement with a Financial Planner

You can also use investments as other sources of retirement income. While each type of investment has its corresponding level of payouts, each has different risks as well. It is best to use the services of a financial consultant in your area to understand how they work and the possible risks involved before using them as your primary source of income during retirement.

Time-Dependent and Working Investments

Investing in REITs (Real Estate Investment Trusts) are high-dividend payment investments. The underlying investments are commercial property that are generating a cash flow. The higher the dividend, the greater the risk.

Savings accounts and certificates of deposit are time-dependent investments. You must maintain certain balances to reap returns. They can earn a higher interest rate the longer the money is invested.

Bonds are essentially debt backed by an asset, a corporation or a government entity. Over time, you earn interest on each bond you purchase. The maturity and credit quality dictate the level of interest earned.

Systematic withdrawal plans and annuities are two types of investments that provide income in exchange for a lump sum premium payment. 

High-Risk Reward Investments

High yielding dividend stocks pay dividends to their stock owners. While they often pay a higher dividend than a blue chip dividend stock, they can be highly volatile. A financial consultant will usually steer you towards more well-known, big company stocks that are more reliable, as this type of investment may be difficult to manage.


Adults today are concerned about becoming financially ready for retirement. Today there are many ways of investing money to secure a future income stream. They can often be complex and have various pitfalls.

If you’re worried about your future funds, Calamita Wealth Management will provide sound financial advice to help you be more prepared for your future. We offer fee-only financial planner services tailored to meet your retirement goals. Call us, and we’ll help you plan for your future today.


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