Meet Darlene and Adam: Age 58, Retiring at 65

Here’s what they were working with:

• Darlene and Adam are both 58
• Want to retire at age 65
• Their main goals:
• Protect 50% of their portfolio from the market
• Secure $8,000/month of guaranteed income for life
• Still build long-term wealth and keep flexibility

Income Sources in Retirement

• Darlene’s Social Security at 65: $2,400/month
• Adam’s Social Security at 65: $1,850/month
• Darlene’s Pension at 62: $1,200/month

Assets

• Darlene’s 401(k): $245,000 (+ $24,000/year contributions)
• Adam’s 401(k): $325,000 (+ $15,000/year contributions)
• Darlene’s Rollover IRA: $570,000

Step 1: Protect Half the Portfolio with an Income Annuity

The first thing we did was reposition $570,000 — about half their portfolio — into a fixed indexed income annuity.

Here’s why:

• It grows at a 9% compound rate (income value)
• It’s 100% protected from any market losses
• It provides guaranteed income starting at age 68

By age 68, their annuity income account is projected to grow to $929,100, and will pay out $65,000/year (or roughly $5,417/month) for life — regardless of what the market does.

This secure income foundation gives them confidence to retire without worrying about portfolio withdrawals during a downturn.

Step 2: Use Remaining Portfolio to Build Wealth Aggressively

Now that $8,000+ of income is virtually locked in (when combined with pension and Social Security), we can get more aggressive with their remaining investments.

Why?

Because they’re no longer relying on their market accounts for core income needs.

Their retirement becomes flexible — meaning:

• They can draw from the market accounts only when markets are up
• They can delay Social Security and annuity income if markets are strong
• They’ve now created a tax-diversified income plan with optionality

Step 3: Minimal Portfolio Withdrawals, Maximum Growth Potential

Because they don’t have to withdraw aggressively from their investments, their portfolio gets a chance to grow — even throughout retirement.

We modeled two scenarios using conservative vs. aggressive allocations:

Conservative Portfolio:

• Projected value at age 80: $887,000
• Projected value at age 90: $1.2 million

Aggressive Portfolio (more equity exposure):

• Projected value at age 80: $2.5 million
• Projected value at age 90: $5.8 million

All while receiving $10,935/month of guaranteed income starting at age 68.

Final Thoughts: This Is the Power of Guaranteed Income + Growth

When people hear “guaranteed income,” they often assume it comes at the cost of wealth-building.

But that’s simply not true.

By carving out part of their portfolio for income and shielding it from the market, Darlene and Adam were able to:
 ✅ Secure peace of mind
 ✅ Protect their future lifestyle
 ✅ Grow their market wealth with more confidence

That’s what a well-designed retirement income strategy should do:

Balance safety, income, and long-term wealth — on your terms.

👋 Want to see what this could look like for your situation?

Let’s chat.