Most retirement plans look solid when markets are calm.

But retirement isn’t tested in calm markets. It’s tested when something goes wrong — and eventually, something always does.

A smart way to prepare isn’t guessing what will happen next. It’s running a simple “what-if” fire drill to see how your plan responds under pressure.

Start with this question: What happens if the market drops 25% in your first few years of retirement?

Early losses can do lasting damage if you’re withdrawing money at the same time. If that scenario would force you to sell investments at depressed prices just to pay the bills, your plan may be too tight. A stronger setup includes flexibility — the ability to temporarily reduce discretionary spending, draw from cash reserves instead of stocks, or rebalance in a disciplined way rather than reacting emotionally.

Next, consider a health shock. Imagine one spouse needs extended long-term care.

Would essential household expenses still be covered? Would the healthy spouse feel financially secure? If your plan relies heavily on investment growth with little guaranteed income, this scenario can expose stress points. Even simply designating certain assets as a “healthcare reserve” can strengthen the foundation and reduce uncertainty.

Then test a large unexpected expense.

A new roof. A major car repair. Helping an adult child during a tough year.

If one large bill would require disrupting your entire withdrawal strategy, that’s a sign your cushion may be too thin. A resilient retirement plan includes liquidity — not just long-term investments — so surprises don’t trigger panic decisions.

The goal of this fire drill isn’t pessimism.

It’s control.

When retirees haven’t mentally rehearsed tough scenarios, they tend to react emotionally when stress hits. That’s when people sell during downturns, overshoot withdrawals, or abandon long-term strategy at exactly the wrong moment.

But when you’ve already asked, “What would I do if…?” the answers come more calmly. You know which expenses could be delayed. You know where cash would come from. You know whether you’d temporarily shift investments more conservatively.

Confidence in retirement doesn’t come from hoping nothing bad happens.

It comes from knowing your plan can bend without breaking.

If your retirement depends on steady markets, perfect health, and zero surprises, it isn’t really a plan — it’s a best-case scenario.

A real plan survives storms.