Columbus, OH, April 25, 2022 (GLOBE NEWSWIRE) — The US retirement age is ticking up even as the average person’s income age 65 and older is under $39,000, but one financial guru is advising her growing client list about the potential to have a greater and more stable income in retirement with the use of annuities.
Annuities, a form of insurance, provide investors with a guaranteed lifetime income stream that can often be a vitally important supplement to Social Security payments. They were once in vogue decades ago. Companies were guaranteeing pensions, and that meant most workers could look forward to a comfortable life after they stopped working. More recently, 401(k) accounts and other funds have become prevalent, although the employee is vulnerable to the volatility of the market with these investments.
“These days, many employees are either not offered any retirement plan at all, or they are offered only complicated choices such as the 401k with little to no education on the topic,” says Nicole Simpson, president of Go Fund Your Life, a financial advisory firm in Columbus, Ohio. “This leaves many working-class Americans with little to no retirement savings.”
The Need for A Different Approach to Retirement Planning
Simpson’s experience in financial planning for retirement, life insurance, and more dates back to June 2008, when she joined New York Life at a time when the financial sky seemed to be falling. She saw hundreds of retirement portfolio’s cut in half or worse when markets declined in 2009. Leaving individuals on the cusp of retirement short of achieving their retirement dreams. Since then, she has developed an impressive grasp on the industry that has led her to focus on offering comprehensive retirement savings advice to people of all backgrounds.
Go Fund Your Life’s team of financial experts provides free consultations to people interested in using an annuity as a more stable alternative to other retirement funds. Simpson also provides the education and tools clients need to try achieving their savings goals.
The firm’s specialties include establishing retirement plans for micro and small businesses with 2 to 500 employees with contributions starting as little as $50.00 per pay by using voluntary payroll deducted IRA’s. These plans have no administrative costs for employers but offer a turnkey option to empower employees to save for their own retirement.
For individuals who have accumulated funds in a work based retirement plan like a 403b or a 401k, the firm provides IRA rollovers into an annuity to lock in the accumulation, and guarantee that the savings never runs out during retirement. “It’s kind of like the tv game show ‘Weakest Link’ where you press the BANK button to lock in your accumulated earnings.” Rolling over a retirement account to an annuity allows a person to bank all the gains earned while in riskier retirement plans with no protection from market declines.
Go Fund Your Life Is Bringing Pensions Back
“My goal is to bring attention to the use of annuities in retirement planning to create a guaranteed lifetime income stream to supplement social security similar to the way our grandparents did,” says Simpson. “In 1986, when my grandfather retired after working 35 years for Rockwell International, now Boeing, he was given a gold watch and a pension that secured a lifetime income that he paired with his social security to live a comfortable life.” That’s what most retirees want, a comfortable life with no fear of running out of money.
In addition to providing lifetime income streams, many annuities offer other attractive benefits such as bonus interest credit on new deposits providing an immediate boost to the accumulation value. Other attractive features can include increased benefits for qualifying healthcare needs such as home health care or nursing home stays. Cost of living adjustments to keep monthly payments on pace with inflation, and penalty free withdrawal options in the event of an emergency.
A key component of a tried-and-true retirement plan is stability and consistency. This is why after creating retirement plans for clients throughout two recessions, Go Fund Your Life’s has created a team that specializes in creating guaranteed retirement income streams through annuities.
Micro and small business owners and individuals can incorporate annuities to create a bulletproof retirement plan strategy that isn’t at the mercy of future economic crises.
“Imagine working your whole life with the vision of retiring and living comfortably, only to realize that you don’t have enough income in the last decades of your life,” says Simpson, referring to a situation that is, unfortunately, the reality for US withdrawn. “We’re on a mission to change that statistic. We’re bringing pensions back.”
This article is for informational purposes only, you should contact a licensed financial professional for specific and personalized retirement planning.
Name: Alex Starr