Income is everything in retirement, and that realization can feel overwhelming. Even if you feel prepared, it’s still important to ensure you’re getting the most out of your money. By taking small actions now, you can set yourself up for a more secure and confident financial future.

In this week’s Better Money Boston with WCVB Channel 5, Nicholas Colantuono, CFP® shares four key steps to building steady, dependable income in retirement.

1. Shift Your Financial Mindset

Your relationship with money changes in retirement. The nest egg you’ve spent decades building now needs to last for the rest of your life. This is a significant responsibility that calls for a different investment approach.

While growth was a primary focus during your working years, retirement requires the right combination of growth and safety. You still need to outpace inflation, but too much risk could jeopardize your retirement savings. The goal is to find a sustainable balance within your broader retirement income strategy.

2. Take Inventory of Your Income Sources

You can’t build a reliable income plan without first understanding where your income will come from. For many retirees, a mix of guaranteed and non-guaranteed income can provide both stability and flexibility.

Start by creating a comprehensive list of all your income sources: retirement accounts, pensions, Social Security, rental income, dividends, interest, etc. A clearer picture of your finances can help you plan, budget, and make more informed decisions for your future.

3. Decide How Much Income You Need

Income is only part of the equation; your expenses are just as important. Do you have a clear understanding of what your lifestyle costs now and what it might cost in the future? Have you considered any upcoming life events or large expenses like a child’s wedding or long-awaited dream vacation? Ultimately, what is on your retirement bucket list?

With more clarity around your spending needs, you can plan more effectively and ensure your income plan supports your long-term objectives.

4. Identify Any Necessary Changes

The final step is to assess whether there are any gaps between your expected income and expenses. If there is a savings shortfall, determine what adjustments you need to make to catch up.

You may find that you need to reduce spending, pay down debt, delay retirement, or adjust your investment strategy. Whatever the case, a financial professional can help you create a sustainable plan that meets your retirement income goals.