Why Your Working Years Portfolio Could Sabotage Your Retirement

Team businesspeople or an accountant team are analyzing data charts, graphs, and a dashboard on a laptop screen in order to prepare a statistical report and discuss financial data in an office.

If you’re approaching retirement, you’ve likely spent decades saving and investing with the goal of building a solid financial foundation. But now that retirement is within reach, it’s time to ask a critical question: Is your investment strategy built for this next chapter of life?

For many people, the answer is no.

The reason: a “growth-only” investment mindset simply doesn’t work the same in retirement as it did during your working years.

Let’s explore why traditional investing strategies can become more of a risk than a reward in retirement and what you can do to protect your future.

The Problem with Growth-Only Investing

When you’re younger, investing for growth makes sense. You’ve got time to ride out market ups and downs and a steady paycheck to cover all your basic expenses. But in retirement, age and time aren’t on your side in the same way. A steep market drop when you’re 65 or 70 isn’t just frustrating. It could force you to delay retirement, go back to work, or significantly cut back your lifestyle.

That’s because traditional stock market investing is unpredictable. Some years are great. Others? Not so much. And if you’re regularly withdrawing money to pay your bills, those down years can quickly chip away at your hard-earned retirement savings, making it harder to recover.

The Stock Market Is a High-Stakes Game

Here’s something most people don’t consider: the stock market is a bit like a high-stakes poker game. For every winner, there’s usually someone on the losing end. In retirement, do you really want your financial future hinging on being the one who plays the market just right

Even seasoned investors and fund managers struggle to time the market perfectly. It’s not just about picking good stocks. It’s about picking the right stocks at the right time and then getting out before things turn south. That’s not a game most retirees want or can afford to play.

You Can’t Count on Growth to Pay the Bills

One of the biggest drawbacks of growth-focused investing is that it relies on future gains you haven’t realized—and may never see. If the market takes a dip, your account value drops. And pulling money out during a downturn locks in those losses.

You may have heard of the “4% rule,” which suggests withdrawing 4% of your portfolio each year in retirement. But that only works if your investments keep growing steadily. And as we’ve seen time and again, the market doesn’t always cooperate.

So, What’s the Alternative?

Here’s a better approach: shift your focus from growth to income.

Instead of hoping your portfolio increases in value, think about how much income it can generate month after month, year after year. By investing in income-producing assets like bonds, preferred shares, and dividend-paying investments, you can create a steady cash flow without having to sell off your assets.

This way, your principal stays intact, and your lifestyle isn’t tied to the market’s mood swings.

Retire with Confidence. Not Guesswork.

Retirement should be about freedom, not financial stress. You’ve worked hard to build your savings, and now it’s time for those savings to work for you.

Switching to an income-first strategy can give you the confidence of knowing where your money is coming from, regardless of what the stock market is doing. It puts you in control and takes the unnecessary guesswork out of the equation.

So if you’re getting close to retirement, it’s time to stop thinking like a growth investor and start thinking like someone who’s ready to enjoy life without worrying about the next market crash.

Because retirement isn’t about betting your future on the next big win. It’s about securing peace of mind and having the freedom to spend your time exactly how you want.

Stay Informed about the Financial Issues that Matter Most to You

Enter you information in the form to receive our blog and periodic email updates about how recent developments in the financial markets could impact your ability to save for the retirement you’ve always envisioned.

Name(Required)

Schedule A Complimentary Consultation

Virtual Meetings Available

Carter Financial Group is a full-service financial firm dedicated to helping those in the Texas area meet their long-term financial goals. Our team of financial advisors and wealth managers are experienced in helping clients preserve their savings, so they can use it as a source of steady income in retirement.

All written content on this site is for informational purposes only. Opinions expressed herein are solely those of Carter Financial Group and our editorial staff. Material presented is believed to be from reliable sources; however, we make no representations as to its accuracy or completeness. Investing involves risk. There is always the potential of losing money when you invest in securities. Asset allocation, diversification, and rebalancing do not ensure a profit or help protect against loss in declining markets. All information and ideas should be discussed in detail with your individual advisor prior to implementation. The presence of this website, and the material contained within, shall in no way be construed or interpreted as a solicitation or recommendation for the purchase or sale of any security or investment strategy. In addition, the presence of this website should not be interpreted as a solicitation for Investment Advisory Services to any residents of states where otherwise legally permitted to conduct business. Fee-based financial planning and Investment Advisory Services are offered by Sound Income Strategies, LLC, an SEC Registered Investment Advisory firm. Insurance products are offered through our Affiliate Sound Income Academy LLC.  Carter Financial Group and Sound Income Strategies, LLC are not associated entities. Carter Financial Group is a franchisee of Retirement Income Source®. Retirement Income Source® LLC, Sound Income Strategies LLC, and Sound Income Academy are associated entities. © 2025 Carter Financial
Newsletter
Signup for our newsletter to get updates information, news & insight.
Name(Required)

About Mandee

Mandee Carter Stearns, President of Carter Financial Group, has been working alongside her father, Dee Carter, running the day-to-day business and learning the ropes of their family business since 2017.

Mandee received her BS in Psychology in 2016 and started her career in the financial industry in 2010 when she started helping in the office. After acquiring her degree, she started working full-time in March 2017 as Dee’s business partner and main Associate Advisor helping clients navigate the intricacies of investing for retirement and overall successful financial planning.

In 2021 and 2023, she was named an Elite Producer with American Equity, amongst other accolades.

In Mandee’s spare time, she likes to go to the gym and spend time with her husband, friends, and family. She is an animal lover and rescuer. In fact, Mandee has 3 rescue dogs, a German shepherd and 2 mixed breeds that she adores! She still enjoys almost all things Psychology related and is constantly researching something. Mandee enjoys meeting new client prospects, speaking with her current clients, but most of all she loves helping people.