🔍 Meet Eric & Anna

• Both age 60
• Want to retire at 64
• Desire $10,000/month for essential expenses
• Want $25,000/year for travel — for the first 10 years
• Prefer 35% of their portfolio shielded from market risk

💼 Assets

• Eric’s 401(k): $545,000 (max funding + $10k employer match)
• Anna’s 401(k): $625,000 (max funding + $15k employer match)
• Joint investment account: $830,000
• Total Portfolio: ~$2 million (and growing)

Step 1: Protect 35% of the Portfolio & Create Lifetime Income

To secure income and reduce retirement risk, Eric and Anna allocated $700,000 — or 35% of their assets — into a guaranteed income annuity:

• Growth: Income value grows at a guaranteed 8.5% annually
• Protection: 100% protected from market losses
• Payout: Delivers $65,000/year of guaranteed income for life

Combined with their Social Security at age 64:

• Eric’s SS: $2,350/month
• Anna’s SS: $2,150/month

They’ve now locked in $10,000/month of predictable, lifetime income.

🎯 The Key Benefit?

They’ve eliminated Sequence of Return Risk — the danger of withdrawing money during market downturns.

Their core retirement income is now protected, regardless of market conditions.

Step 2: Grow the Remaining 65% for Wealth & Lifestyle

The remaining 65% of their portfolio stays invested for growth and flexibility.

Because the essential income is secure, they can now afford to be more strategic — and even opportunistic — with the rest of their investments.

• Produces an additional $6,000/month in supplemental income
• Easily covers taxes, travel, and discretionary spending
• Allows for continued compounding of their invested wealth

This is a classic “Safety-First, Growth-Second” retirement income strategy — ensuring the floor is solid, while still leaving the ceiling open for expansion.

Long-Term Results (with Income Withdrawals)

Here’s what their projected net worth looks like even while spending in retirement:

• Age 80: $4.1 million
• Age 85: $5.2 million
• Age 90: $7.7 million

That’s the power of having a guaranteed income floor that lets the rest of your portfolio ride market gains — without worrying about covering the bills.

✅ Summary: Why This Strategy Works

✔️ $10,000/month in guaranteed lifetime income
 ✔️ $6,000/month in flexible portfolio income
 ✔️ $25,000/year travel budget covered for a decade
 ✔️ Long-term net worth growth even in retirement
 ✔️ Peace of mind knowing the market can’t derail the plan

Final Thought: You Don’t Have to Choose Between Safety and Growth

By prioritizing income protection first, Eric and Anna gave themselves the freedom to pursue more growth, not less.

If you’re in your 50s or early 60s and wondering what a plan like this could look like for you, now’s the time to build a retirement income strategy that combines protection, predictability, and potential.

Want to see what your numbers look like in a plan like this?

Let’s chat — I’d be happy to put together a custom income analysis for you.