• Question
  • I want a life time income without reducing my asset values

    Asked by a 75 year old man from Katy, TX on 6/13/2012

    I want a life time income without reducing my asset values

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  • Categories: Retirement Planning, Guaranteeing Income

Answers

  • Editorial 


    NewRetirement

    San Francisco, CA

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  • Guaranteeing adequate lifetime income is critical for a secure retirement plan.

    We hope you found some ideas of what you will need for retirement and how to make it secure in the NewRetirement Calculator:
    https://www.newretirement.com/retirement-calculator/default.aspx

    I think that if you want lifetime income without reducing or risking the value of your assets, then you may want to investigate a lifetime annuity with one or more of the following features:

    --> Premium Protection: Premium protection is a feature that guarantees you to receive in premiums at least as much money as you originally invested.

    With premium protection, you will continue to receive periodic annuity payments until the cumulative annuity payments equal your net investment. (If you die beforehand – your heir(s) will receive the payments.)


    ---> Cost of Living Protection: Most financial planners would strongly recommend that you choose an annuity with automatic cost-of-living adjustments.

    When you buy an annuity, you are buying a certain amount of monthly income. However, inflation can dramatically decrease the buying power of that income over time. An annuity with "cost of living adjustments" (COLA) protects the value of your income stream by adjusting your payments along with inflation or the cost of living. Inflation protection or cost of living adjustments afford you the ability to maintain your lifestyle in retirement.

    You can find out how much lifetime income your money will buy with the NewRetirement Annuity Calculator:
    https://www.newretirement.com/Services/Annuity_Calculator.aspx

    Or, if you are looking for ways to maximize income through interest or investment returns, you might want to explore Asset Allocation resources:
    http://www.newretirement.com/asset-allocation-marketplace.aspx

    Finding the right Financial Advisor may also be something you might want to pursue:
    http://www.newretirement.com/financial-advisor-marketplace.aspx

  • Login to rate this answer:   Answered on 6/13/2012
**All above answers are provided as general information only. No warranty is made regarding the fitness or accuracy of the information provided in this answer. You should seek advice from a licensed CPA, attorney or CERTIFIED FINANCIAL PLANNER™ as to your unique financial situation.