Annuities Archives - Page 4 of 16 - Jerry Golden on Retirement

Do you have enough income to retire?

March 13, 2018 By Jerry Golden in Income Allocation 5 Comments Tags: Annuities, Dependable spendable income, Guaranteed Income, Income allocation, retirement income

Part III – Study confirms more income with less volatility

In Parts I and II in this series, I suggested that you could receive more retirement income with less volatility if you and your advisor moved from asset allocation to income allocation. It’s one thing to suggest and another thing to prove. So we conducted a study and will publish the full results and the underlying methodology in the next few weeks. As you will see, there are dramatic advantages to focusing on income allocation.

For this article we selected one of the case studies (a male 70, who has $1 million in retirement savings, 50% in a rollover IRA) with a current asset allocation of 30% to equities based on the “100 minus age” rule of thumb, and 70% to bonds and CDs. We compared that case to an income allocation strategy. You will see the results throughout this article, including a table of detailed results at the end of this article. Here are some highlights for this case:

Pre-tax income is increased by 32% over the investor’s lifetime.
Income volatility is reduced from 72% to 29%.

Would you rather spend that extra cash or make it last a lifetime?

January 24, 2018 By Jerry Golden in Annuity Tags: Annuities, Baby Boomers, Estate planning, QLAC, retirement income

Save it or spend it? That’s the question to answer when you find extra money.

Our friends at Kiplinger’s Personal Finance magazine headlined its February 2018 issue with great approaches when the figure at hand is $1,000, $10,000 or $100,000. I have some ideas, too.

The best opportunity with money that you unexpectedly discover – either from a windfall or cuts in spending you have achieved – in my view centers on “leverage.”

Leverage can mean different things to different people. It can be financial leverage by borrowing money to buy a property you can’t pay for with cash. Or political leverage when the majority needs the minority to pass legislation.

I like the following definition of leverage: “using something to maximum advantage.” More

Why I don’t do a Top 10 list

January 9, 2018 By Jerry Golden in Income Power Tags: Annuities, retirement income

Everywhere you turn this time of year you will see a Top 10 list. Whether it’s automobiles, restaurants, vacation spots, chocolates or gardening tools, you will find someone willing to guide you.

I don’t think Top 10 lists always work for you, particularly when it comes to retirement security.

Let’s take restaurants as an example of why lists often fail. Unless you have your own jet, a list of Top 10 restaurants in the country won’t help you decide on a site for your anniversary dinner the next month. A more helpful list would describe restaurants within, say, 30 miles of your home.

Or perhaps you prefer Italian. Therefore, information on French, Indian or Vietnamese restaurants is not of much interest to you. Now you’ve narrowed it down to Italian restaurants within 30 miles of your home. But you prefer northern Italian cuisine.

Bottom line, before you start your search for the restaurant, decide what you want in terms of location, cuisine (even region) and, of course, your budget.

Wrapping up 2017 — and wishing for a retirement czar

December 28, 2017 By Jerry Golden in Social Security Tags: Annuities, retirement czar, retirement income, Social Security

An open letter to my U.S. senators:

Dear Senator,

I keep my preferences regarding Republican vs. Democrat to myself, but I have to admit I’ve never spent so much time talking about politics with my friends and spouse as I have in 2017. What a year!

As the country takes stock and we head into 2018, I would like to share my thoughts with you about retirement — the area of government I’m most interested in both professionally and personally. The question is what role should the government play in encouraging retirement savings and providing income, healthcare and long-term care for those who aren’t able to save enough?

Based on my experience and research, “retirement” ought to have a seat at the table and have someone represent the interests of current and future retirees. More

9 retirement planning trends that make us thankful

November 21, 2017 By Jerry Golden in Annuity, Miscellaneous Tags: 401(k), Annuities, Guaranteed Income, QLAC, Retirement planning trends, Social Security, Thanksgiving

As much as we look forward to the gathering around Thanksgiving, preparations for many of us include ticking off a mental list of what we cannot talk about for fear of igniting a feud in-between second helpings and dessert.

In the spirit of the holiday, I present a list of topics (about retirement of course) that fall into three categories:

Safe for dinner conversation.
Discuss only when Uncle Bob is out of the room.
Danger! Politics!

Whether you play it safe or plan to leave before the pie is served, here are nine retirement planning trends for which I am thankful this season. Please don’t blame me if some relatives at the table feel differently. More