Janice Jacobs is planning for her retirement.She knows what assets and liabilities she has now and expects to have in the future.She knows what her spending patterns are likely to be and adjusted them for inflation.She also has identified all of her sources of income after she retires.Now she is sitting down and planning her income and expenses each month.After she has finished this plan,she knows that she has enough income to cover her expected expenses and still have $200 extra each month for emergencies and other unplanned activities.Even with inflation,she thinks she can sustain this plan for approximately 30 years.What step in the retirement planning process is Janice completing?

Question

Quizplus · Accepted Answer

Janice is developing a balanced budget based on her retirement income, taking into account her expected expenses and sources of income. By ensuring that she has enough income to cover her expenses and still have extra for emergencies and unplanned activities, she is creating a sustainable plan for retirement. This is the final step in the retirement planning process.

Janice Jacobs Is Planning for Her Retirement