Wes Moss Says Retirement Happiness Begins With $1 Million in Liquid Assets

Wes Moss has revised his idea of what it takes to feel truly comfortable in retirement. In a recent Ask An Advisor segment on The Clark Howard Podcast, he said updated research from The Retire Sooner Method points to a much higher threshold for noticeably better retirement happiness: about $1 million in liquid savings.

That category includes money held in 401(k)s, 403(b)s, IRAs, Roth accounts, and brokerage accounts. Moss said reaching that level can give retirees “a ton of peace of mind around that and what that money can produce in income.”

In an earlier book, Moss said the key turning point was $500,000. He noted that, after inflation, the old benchmark is roughly equivalent to about $800,000 today. He has also framed the goal more directly by saying, “We want to get to a million dollars in liquid assets. We want $100,000, let’s say, in retirement income.” That raises the obvious question: how much income can $1 million actually generate?

Moss’s Yield Ladder Puts a Price on Peace of Mind

Moss describes his approach as a yield ladder, where each rung offers more income but also more risk. He has estimated that the S&P 500 yields about 1.2%, utility ETFs are around 3%, major energy companies are closer to 4% to 4.5%, and REITs and closed-end funds can reach the 7% to 8% range. He says that income creates “permission, license to feel okay about spending.”

Here is how six real holdings compare, based on annualized forward payouts and recent prices:

Energy’s Rally Shrunk the Middle Rung

The SPDR S&P 500 ETF Trust sits on the lowest rung, paying $7.58 per share over the trailing 12 months. The Utilities Select Sector SPDR Fund comes in near Moss’s 3% estimate.

The energy rung has slipped below Moss’s range because share prices have risen faster than payouts. Exxon Mobil is up 55.27% year to date, and Chevron is up 57.27%. Both companies are still increasing dividends. Exxon’s quarterly dividend rose from $0.95 in 2024 to $1.03 in 2026, and the company plans $20 billion in buybacks this year. Chevron lifted its quarterly payout to $1.78, while Brent averaged $104 per barrel versus $68 a year earlier. For investors buying energy stocks strictly for income, the starting yield is now lower than Moss’s ladder would suggest.

Top Rungs Pay Monthly, With Very Different Risk

Realty Income has declared 673 straight monthly dividends, and its second-quarter SEC filing marked the 115th consecutive quarterly dividend increase. Occupancy is 98.8%, and 2026 AFFO guidance was raised to $4.44 to $4.45 per share. That easily covers the $3.258 annualized dividend.

PIMCO Dynamic Income Fund yields more than twice the top end of Moss’s range. Its $0.2205 monthly distribution has remained unchanged since 2023, but the shares have fallen 10.09% over the past year. A yield that high can suggest the market is pricing in more risk in the fund’s credit holdings. Moss has also said his ladder extends into “other areas, bonds and other specialty categories, so that we’re not leaning in on these ultra-high-yielding stocks.”

What a Blended Ladder Means for Retirees

Among the five lower-yielding holdings, only Realty Income produces more than $50,000 from Moss’s $1 million. For many retirees, that means the $100,000 income target depends on Social Security, pensions, or a combination of different ladder rungs. Spreading money across several investments can reduce dependence on any one payer, though it also means giving up some yield. Moving higher on the ladder brings in more annual cash, but the principal becomes less stable.

The next payout dates are close at hand. PDI pays on November 2, SPY on October 30, and Realty Income on November 13. Exxon and Chevron will next reveal whether dividend growth can continue to keep pace with their share prices.