65-year-old Couple with $750k Needs $7k/month (+ More Income & More Flexibility)

(don’t forget to checkout the video of this case study too)

💾 be sure to save for later 💾

⭐️ Here are the details ⭐️

✅ James & Erin are 65

✅ They want to retire immediately

✅ Their total Social Security Income will total $4,300/month

✅ They have $750k in total investments

✅ Their Retirement Income goal is $7,000/month

✅ They are a bit nervous about having too much money in the stock market

⭐️ Following A Conventional Retirement Withdrawal Strategy ⭐️

They need to keep their money invested in the market.

Under this philosophy, 50% of their retirement needs to be invested in stocks (which have a tendency to be very volatile).

They also have to stick to an annual withdrawal rate of approximately 4% per year…

Whether the market goes up 10% or down 20%‼️

This type of income strategy requires a LOT of discipline to stay invested in retirement (especially when the market goes down).

It also provides NO guarantees that their income will last all the way through retirement.

It also only generates about $2,500 per month with VERY LITTLE flexibility (since the money has to stay invested to generate income).

⭐️ My Retirement Income Philosophy ⭐️

✅ Create an additional source of guaranteed, lifetime income

✅ This repositions some money out of the market (and therefore completely eliminates market risk from a large segment of their wealth)

✅ $420k repositioned into the right type of indexed, income annuity will provide $2,800/month of immediate, guaranteed, lifetime income

⭐️ Protect remaining principal + supplemental income ⭐️

✅ This leaves them $330k of completely flexible money (either to invest or spend)

Since they are nervous about the market we will also leverage current rates interest rates to provide supplemental income.

This is also considered an annuity as well, but it’s a different type, designed for short-term interest payments and principal protection (just like a CD).

Current interest rates (as of mid 2024) would allow for approximately $1,650/month of supplemental income‼️

Plus, they will get their entire initial investment back at the end of the term.

This gives them $330,000 of remaining retirement assets that they can spend however they choose (in addition to their fixed income sources).

⭐️ Total Retirement Results ⭐️

$7,000/month guaranteed + $330,000 with 100% principal protection generating an additional $1,650/month.

Bringing their total to $8,650/month with absolutely no market risk.

This retirement income philosophy generates not only a significant amount more income it also provide a contractual guarantee that the income will last for life…

Plus, they have now gained much more liquidity and flexibility with their remaining assets (since they don’t need as much money locked-up in the market generating income).

Let’s chat 💬😎