A. As you approach retirement, you may have a lot of questions - will I have enough? Where is my income coming from? But if you actually map out your spending ahead of time, you will know the answer, and you will have less worry.
As you prepare for retirement, you have accumulated a sizable retirement portfolio, while the long term return of the portfolio is uncertain, you can make sure your first 3 years' retirement income source is certain by doing the following:
Put your first year's spending amount in a money market account, put the next 2 years' spending amounts in either a CD or Treasury Bills. Such allocation holds true regardless current stock market status and interest rate environment.
In short, for your near term cash needs, you focus on safety, and the rest of your portfolio could focus on the longer term.