Page 130 - Ready Set Retire

Stephen J. Kelley

Now, add the cost of living over the next 10 years. If you just
multiplied 18,000 x 10, you get $180,000. However, if you use
a 10-year period-certain immediate annuity, you can get that
same payout for about 10% less. That’s $162,000 for years 1-
10 plus the $180,000 for years 11+, which means you took care
of your whole lifetime for just $342,000, instead of $720,000.
A savings of $378,000.

Okay, now, instead of forward planning, this is an example of
our “Last Things First™” model, taking care of later income
first, thereby taking advantage of a 52.5% discount by
introducing life expectancy to the equation. Another risk class.
But not a risk class where you are taking the risk! The insurance
company takes the risk and passes the benefits on to you.

So Last Things First™ puts an extra $378,000 in your pocket,
or nearly doubles your nest egg, guaranteed, with no market
risk. How do you think an extra $378,000 would affect your
retirement? Do you think it might provide more income and
lifestyle for you now? How about later?

One final point. The annuities we use don’t require you to
commit “annuicide,” i.e., give up control of your money. You
can change the plan at any time, and, should you die before
running out of money, the balance will go to your beneficiaries.

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