The determining factor for most people in retirement when it comes to the lifestyle that they can live is income. Your level of income will dictate how much you are or are not able to do in retirement. So, why is this one topic that most retirement calculators never touch on?
There are several ways for people to create income in retirement: annuities, life insurance, and dividends. When we put a plan together, we try to leverage the power of dividends to increase the longevity of your retirement savings. For example, if you are taking 4% per year out of your retirement accounts to supplement your Social Security and possibly your pension then your money will last roughly 25 years. However, if you were making 3% in dividends you would only be taking 1% off your principle every year meaning your money would last significantly longer.
When you combine that same practice with the use of annuities and life insurance it is possible to create income for yourself while also leaving money behind to create a legacy for your family. No matter what your goal is in retirement, your income level will determine whether you are able to achieve those goals. So, let us work together to create and income that will allow you to achieve most, if not all, of your retirement goals while still living the life you envisioned.