If you are one of the many people who invest in a 401k, IRA, mutual fund, stocks, and bonds, you may not have heard of the benefits and features of certain annuities and life insurance. Most savings and investment products have associated risks and fees. Falling markets and fees will eat away at any potential future earnings over time. You are making someone else rich, but I will show you that you have to diversify and take some money off the table.

No downside risk:

To receive a high rate of return, you must be able to accept and manage risk. The risk is very expensive. It’s okay to risk money if you want to gamble in Las Vegas or Monte Carlo, but why risk money you plan to use for retirement or future savings?

With fixed and fixed indexed annuities, as well as whole and indexed universal life, there is no downside risk and no management or broker fees. More of your money will go where it’s needed rather than to a brokerage or finance company. That means more money for your retirement in your later years.

annuities:

Life annuities are the only instrument in the world that can guarantee you an income for life. You can choose from immediate, fixed, fixed indexed, and variable annuities. Variable annuities have risk and fees, but still give you choice and income for life.

Deferred annuities also give you a rider you can buy that will allow the amount of your income to increase by 5% to 10% per year for each year you postpone taking an income stream for life. When you finally decided to take an income stream, the payout will be calculated based on a few factors:

Your age at the time of retirement

The corresponding percentage based on their age.

The dollar amount calculated from your original deposit plus the percentage accrued for each year you deferred earning.

The longer you wait to defer and your age, the higher the monthly payment.

Life insurance:

In addition to variable life, whole life and index universal life insurance policies grow risk-free and tax-free. When you decide to withdraw money from your insurance policy, you are not penalized for early withdrawal and your money will not be taxed as income because it is a policy loan.

Your cash value is not subject to the IRS Rule 59 ½ and the income is yours to spend when and where you want. These policies also have the death benefit associated with term policies. You can kill two birds with one stone with these life insurance policies. Save for retirement and care for your family in the event of your death.

Be sure to consult with an expert life and annuity insurance broker to see which product or products work best for you and your family. These programs are only for people who want Wealth Preservation.