The following is fictional. The names have been changed to protect the innocent. :)
John had just retired and like many newly retired folks he decided to buy a boat and do some fishing. He bought the boat, the equipment and last but not least searched high and low for the perfect anchor. As it happened, his lovely wife bought what he wanted to help fulfill his dream; it was the perfect anchor and now carried special significance having come from his dear wife. Over the years he bought several newer boats but would always lovingly transfer that old anchor his wife had given him to the newest "hole in the water to through money in" (boat).
He went fishing one very blustery day. The wind was raising some heavy chop. He needed to transfer the anchor to a different cleat so he untied it but as he moved into position before he could get it tied a larger wave hit the boat and he lost his balance and dropped the anchor into the water.
He watched in horror as it began to sink our of sight. He had just the presence of mind to reach for the rope before it went....too late - he missed the line. Frantic and not thinking he launched himself into the foaming blue water and lurched toward the line... success - he had it. But he realized to late it was heavier than he expected.
Somehow he managed to struggle to the surface and saw the boat a few yards away. "I can reach it!" he thought. But the wind was contrary and the boat was drifting away from him. He struggled to swim with one arm as the other held the beloved anchor. But it was a losing battle and soon he realized he needed to do the unthinkable - LET GO OR DROWN! With tears mixing with the blue salt water he slowly let the anchor line slip through his fingers and watched as his "Precious" sank out of site.
Have the light bulbs come on yet. Is the current plan for your retirement savings acting more like and ANCHOR than a sail? If your like many I speak with, the answer is probably a resounding YES! Just like the fellow in our story you watch as your money sinks deeper & deeper. You desperately want to save it and you think you see daylight - you can see the boat (your last high water mark) Your inching toward it but .... but then another wave of market disturbance takes you under again and you can't breath. But you struggle because you've had your anchor (broker) for years; he's never let you down... you thought! But now it looks bleak. Your drowning and you need to make a decision before it's too late and you lose it all. All your broker keeps telling you is, "Don't move now, you'll lock in your losses!" "Don't move now, the market will come back!" Words you've heard time and again but here you are once again seeing all the profits you held on for vanishing! So here's the question that needs an answer:
ARE YOU GOING TO LET GO OF THE ANCHOR OR DROWN!
Unfortunately too many of you will go down with the anchor and that breaks my heart because I have solutions that will save your retirement savings and give you the safety you're looking for and deserve but you have to be willing to let go of the old rope attached to your old broker that's become a noose around your savings that will kill them! If you really want solutions, read on. If not, just stop reading but you better stop watching the news as well or reading the newspaper because they'll just be reminders of the decision that demands to be made.
SOLUTIONS YOUR BROKER & BANKER WON'T TELL YOU:
* Have a NEW plan made. unless you know what you're REALLY facing you can't make an informed decision and so you won't make any decision. Plus the plan you had was for when you were younger and in accumulation mode. Now you're older and in protection and distribution mode. You simply don't have time any longer to wait for the market to come back. It too 24 years for the market to get back even. Can you wait that long; 20 years, 15? What if you have to start taking income when the markets down. If that happens at the beginning or during retirement, it can be a death blow to your ability to maintain your lifestyle.
* When your plan is fully developed you should be able to answer questions like - How long will my money last? What happens if inflation kicks in, if a spouse dies, if a spouse needs Long Term Care, if there's another depression, if taxes go up? How much do I actually need to move to get the income for life I want or how much income is guaranteed for life? (CAN YOU ANSWER ALL OF THESE?)
* Put some of your money in a "safe" haven like Annuities. (Bonds aren't safe, neither are CD's... not in this economy. 44%, 10,00 banks went under during the Great Depression, and bonds are on shaky grounds with municipalities and corporations running out of money.)
* If you're younger, under 60, what about using life insurance to build a TAX FREE retirement savings that will come out for retirement income TAX FREE and go to your heirs TAX FREE? (Catch a pattern there? :) )
* Give up those CD's that aren't paying anything and pay even less because you have to pay taxes on the gain each year. Try looking at 3-5 year Annuities paying as high as 4.5% right now TAX DEFERRED - no 1099 each year.
* Want Market like returns but no risk of loss? Fixed indexed annuities can provide gains attached to an index with no risk of loss and annual reset which allows you "LOCK IN" interest each year so it can't go backwards and resets the index to the new number so you don't have to "GET BACK EVEN" before you start earning for the next year.
* WHAT'S THE PRIMARY PURPOSE FOR THE MONEY YOU'VE SAVED FOR RETIREMENT? If it's for income then income riders are the 9th wonder for the world, in my opinion! Giving you 7.2 -10% GUARANTEED FIXED rate of return on an income account till you trigger income. This means that you DOULBE the asset in 10 years and quadruple in 20 then income is a percentage of the accumulated value in the annuity or the income rider whichever is higher.
One company offers an income that ratchets up with an index so that even after you trigger the income your income goes up every year, by whatever percentage the index goes up and once it goes up your income can't go back down. If your account value goes to zero before you die, you still get paid and your income still ratchets up. If you die early, your heirs can inherit the account. Another will double your income for Long Term Care if you need it with NO UNDERWRITING!
* Get a complete legal package put together: Will, Living Will, Revocable Living Trust, Powers of Attorney health and financial & a pour over will.
If you'd like more options or have a plan done for you, just contact me. I'll do it free of charge with NO obligation on your part. Even if we do business together not one dime comes out of your assets to pay me.
These are tumultuous times we live in. I understand the fear - that FROZEN feeling - that STUCK feeling! I've dedicated my life to helping folks like you get unstuck and free to enjoy your retirement rather than live in dread each day wondering whether there's enough money. The answer to the questions your asking is a phone call or e-mail away.
Safe savings,
Roger
Roger Ely offers safe money retirement strategies to help you maximize and convert your retirement savings into retirement income guaranteed for life, provide for continued growth, help over come Long Term Care costs, and guarantee you Never Lose Another Dime! More information is available at http://letstalkretirement.com. Don't forget your FREE consultation!
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