Pillar 3: Guarnteed Retirement Flashcards
What are the 3 phases of Guaranteed Retirement?
Phase 1: Preservation
- This phase is about putting a plan in place for safety and growth. This will help to PROTECT your assets from unforeseen circumstances.
Phase 2: Income
- This phase is about structuring your Income and Revenue Streams so you cannot outlive them.
Phase 3: Legacy
- This phase is about developing a plan to transfer assets to heirs and an organizations you are passionate about helping.
What is Comprehensive Financial Evaluation?
Our seasoned financial advisors conduct a thorough analysis of your financial landscape considering your assets, liabilities, and retirement goals. This comprehensive evaluation serves as a bedrock and Northern Star to tailor and guide your retirement plans.
What is a Fixed Annuity?
A Fixed Annuity:
- Guarantees a Fixed Interest rate for a specific amount of time.
- Provides an income stream at retirement
- You know that exact amount of growth of the annuity at any time
- Guaranteed income payments at retirement
- Tax-Deferred: Taxes aren’t taken out while the annuity is growing. The income is tax at a lower rate at retirement age
- It secures the transfer of Income if you pass away before the annuity pays out
- It’s not a gamble like a 401k or Roth. The investment is at a fixed rate that is always paid out and guaranteed
- Multiple annuity policies can provide multiple streams of income at retirement
What is Lifestyle Preservation?
Our Fixed Annuities allow you to preserve the lifestyle you are accustomed to at retirement through your investments. This includes essential expenses, leisure activities, and experiences that define your retirement years.
What is Empowerment through Knowledge?
At FWP we empower our clients with the knowledge of their investment. We provide workshops and consulting to give our client a deeper understanding of fixed income annuities, retirement strategies, and wealth management. We arm you with financial insight to maximize your investments.
How does a Fixed Income Annuity work?
When you purchase a fixed income annuity you provide an insurance company with a lump sum and the insurance company guarantees a fixed rate to grow your investment yearly to provide you with a predetermined amount of income at regular intervals, typically monthly, for the rest of your life. This provides you with a stable foundation at retirement with no worries and a peace of mind.
How is income from fixed annuities calculated?
The income from a fixed income annuity is calculated based on several factors, including your age, the amount of the initial lump sum, current interest rates, and the terms of the annuity contract. Generally, the older you are when you purchase the annuity, the higher your income payments may be.
Can I purchase multiple Fixed Annuities?
Yes, you can purchase multiple fixed income annuities to create a diversified income strategy in retirement. This can help you customize your income to cover different expenses and adapt to changing financial needs.
