Sustainable income, precisely what is it?
How could income be sustainable? What happens when interest rates drop, or you live too long? How can it sustain itself?
Those are good questions, and the answer might seem too good to be true. However, it is true if you understand how to create an Income for Life.
You could call it “Income Insurance.” It simply ensures that you will NEVER outlive your income, no matter what happens in the stock market, Washington, or the World.
You may spend all your income this month, and then you get another income check next month. This will continue no matter how long you or your spouse live. Even if you’ve already SPENT all your money, if either spouse is alive, they will continue to receive that Income check!
What’s MORE, after both spouses have passed away, if there’s any money left in your account, 100% goes to your beneficiaries!
Sound too good to be true? The secret is straightforward, allow an insurance company to hold your retirement money and, in return, provide guaranteed income. The insurance company will issue an annuity, and in that contract, will be guaranteed, guarantees to offer you pay for any period, even life.
The insurance company gets to use your money, but it still is your money. If you live beyond life expectancy, the company pays. If you die prematurely, the unused portion is inherited by your named beneficiary.
How does the insurance company benefit from this? They get the use of your money; that is it. And for allowing them to use your money, you get the desired benefits: safety, security, lifetime income, and probate avoidance.
If you assume the responsibility of managing your essential retirement funds, you may be exposed to risks you cannot afford—the risk of running out of money and living too long.
Making withdrawals from a pile of money repeatedly (especially if that money is in the Stock Market where one “correction” could irrevocably derail your ‘plan’), watching that pile slowly dwindle until it’s GONE is a recipe for failure. It makes no sense at all when there is a much better way. Leverage your money so that it never dwindles, never runs dry-GUARANTEED!