Here are a few practical tips to help the transition smoother -
1. Create a guaranteed income stream
You can convert a lump-sum payout from a former employer into a simple fixed annuity, or convert a whole life insurance policy into a fixed annuity. Such guaranteed income stream will make you feel better when spend the rest of savings.
2. Protect against future higher tax rates
Withdraw more than your required minimum distributions to take advantage of today's relatively low rates, or make charitable contributions from your pretax accounts to reduce the amount you will be required to take in RMD when you turn age 70.5 which will cut your tax bill.
3. Protect against stock market corrections
Save enough money in safer accounts such as CD or money market accounts so you don't have to touch the money invested in stock markets when it is low in value.
4. Lower withdrawal rates
The traditional withdrawal rate of 4% is still valid, but you could lower it a little bit if it makes you feel safer. However, there is a lot of evidence that retirees may be worrying too much about preserving their money.
5. Create a financial plan that gives you permission to spend
For example, maintain separate accounts for things such as basic bills, travel, and investment. Practice spending money and reward yourself for the experience, you can start small, for example, put some slips of paper with writings that note things that will bring joy to your life, and every a few weeks take out a slip and buy what's written on it..