Retirement investing focuses on generating income while managing risk differently than accumulation years. Most retirees benefit from a balanced approach: maintaining some stock exposure (typically 40-60%) for long-term growth and inflation protection, while holding bonds and cash for near-term income needs and stability. The key is matching your allocation to your personal timeline, risk tolerance, and income requirements. Many Scottsdale retirees use a "bucket strategy"—keeping 2-3 years of expenses in cash/short-term bonds, 3-10 years in moderate-risk investments, and 10+ years in growth-oriented stocks.

Fee-only advisors charge transparent fees for advice and management—typically a percentage of assets or flat fees—and don't earn commissions from selling products. Commission-based advisors earn money when you buy specific investments, insurance, or annuities, creating potential conflicts of interest. Fee-only fiduciary advisors are legally required to put your interests first, while commission advisors follow a lower "suitability" standard. For Scottsdale retirees, fee-only advice typically results in lower costs, fewer conflicts, and recommendations based purely on what's best for your situation rather than what pays the advisor most.

There's no one-size-fits-all answer, but common guidelines suggest subtracting your age from 110 or 120 to determine your stock allocation (e.g., at age 65, that's 45-55% stocks). However, your personal allocation should reflect your specific situation: risk tolerance, other income sources (pensions, Social Security), health and longevity expectations, and legacy goals. Retirees with significant pension income might hold more stocks, while those relying entirely on portfolio withdrawals might prefer more bonds. Your allocation should also adjust throughout retirement—typically becoming more conservative as you age.

Tax-loss harvesting involves selling investments at a loss to offset capital gains and reduce your tax bill. You can offset up to $3,000 of ordinary income annually, with excess losses carrying forward. This strategy works only in taxable accounts (not IRAs). For Scottsdale retirees, systematic tax-loss harvesting can reduce taxes, lower Medicare IRMAA surcharges by reducing taxable income, and improve after-tax returns by 0.5-1.5% annually. However, you must avoid wash sale violations and maintain appropriate market exposure—best handled by experienced advisors.

Rolling to an IRA typically provides more investment choices, lower fees, easier estate planning, and greater flexibility for tax strategies like Roth conversions. However, some 401(k) plans offer benefits worth keeping: institutional fund pricing, penalty-free withdrawals at 55 (vs. 59½ for IRAs), stronger creditor protection in some states, and the ability to delay RMDs if you're still working. For Scottsdale retirees who have left Mayo Clinic, Banner Health, Intel, or other employers, a thorough analysis comparing your specific plan's costs and benefits against IRA options is essential.