The Story of Chandler and Monica Retiring with Confidence

How Chandler & Monica Went From “Do We Have Enough?” to Retiring with Confidence

Chandler (70) and Monica (73) were in a solid financial position on paper:

• $1.39 million in RRSPs, RRIFs, and TFSAs
• A mortgage-free home worth $2 million
• CPP, OAS, and Monica’s defined benefit pension from her 30+ year healthcare career

They had saved diligently and avoided debt for decades. But as Chandler’s April 30, 2025 retirement date approached, they started to worry:

• Would their savings last if one of them lived into their 90s?
• How much could they safely spend without crossing the line?
• Would taxes quietly eat away at their retirement income?
• If health issues came up, would they need to downsize or sell investments?

They knew they wanted to accomplish the following goals:

• Maintain about $100,000 per year after tax for daily life and travel, which will increase each year like a raise while working.
• Set aside money for a new car in 2027.
• Keep flexibility for elder care.
• Still help their kids financially if needed.

They also wanted the freedom to make these decisions without watching the markets like a hawk.

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The R5 Retirement Process™ in Action

1. Replace Paycheques
When Chandler’s paycheques stopped, their pensions and CPP/OAS wouldn’t be enough to cover their lifestyle.
We mapped out a sustainable cash flow plan by:

• Coordinating RRIF, RRSP, and TFSA withdrawals to hit their $8,900/month target.
• Using Monica’s pension and both CPP/OAS payments as their income “base,” then topping up from investments in a way that smoothed their income year to year.

2. Reduce Taxes
Their biggest surprise? Realizing taxes in retirement don’t just “go away.”
We helped them:

• Use Chandler’s RRSP room before his retirement to take advantage of his higher current income.
• Strategically plan RRIF withdrawals so they wouldn’t push into a higher tax bracket later.
• Maximize TFSA contributions every January for tax-free growth.
• Use income splitting once Chandler retired to lower their household tax bill.

3. Retain Lifestyle & Wealth
We designed their portfolio to balance growth with stability so they could enjoy life now without risking their future.

• 65% equities / 35% fixed income, mirrored in all accounts.
• We set up three “buckets” for their money:
  • Short-term bucket for the next few years of expenses, like their $50,000 car purchase in 2027 and planned travel.
  • Medium-term bucket for the next 5–10 years of spending needs.
  • Long-term bucket for growth to help their money last the rest of their retirement.
    This way, market ups and downs in one bucket don’t throw their entire plan off course, and they can spend with confidence knowing each stage of retirement is covered.

4. Reduce Risk
We tackled the “what-ifs” upfront:

• Set up a $1M home equity line as a ready source for home care or assisted living costs.
• Reviewed their travel medical insurance for the extended trips they were planning.
• Updated Power of Attorney documents and beneficiaries so their wishes could be followed without stress on the family.

5. Remain Flexible & Repeat
We put their plan on an annual “Retirement Guardrails Review,” checking:

• If spending is still sustainable based on markets and withdrawals.
• Whether they want to adjust their travel budget, gift to family, or make other lifestyle changes.
• How tax rules or personal circumstances might create new opportunities or risks.

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The Result

Chandler & Monica went from feeling uncertain to feeling fully in control. They now have:

• A written income plan that turns their savings into reliable, predictable paydays.
• A tax strategy that helps them keep more of every dollar.
• A three-bucket investment system that protects today’s spending needs, keeps mid-term plans on track, and grows money for the decades ahead.
• A risk management plan that protects their lifestyle if health needs change.
• Confidence to spend on the people, places, and experiences they value most.

As Chandler put it:

“We finally feel like we have a game plan — and we know what to do if things change.”

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If you’re wondering how to turn your savings into the lifestyle you’ve imagined, our R5 Retirement Process™ can help you replace your paycheque, reduce taxes, and live with more confidence. 

Book your Retirement Road Map meeting today.

What To Do Next

Are You on Track with Your Retirement Strategy? FIND OUT TODAY!

For more information, refer to Preserving Wealth: The Next Generation – The definitive guide to protecting, investing, and transferring Wealth by Jack Lumsden, MBA, CFP® or schedule a call with Jack at 905-332-5503