by Kenn  Beam Tacchino, David  A. Littell and Bruce D. Schobel, CEBS

The age at which an individual chooses to start Social Security retirement benefits can be arguably the most significant factor in his or her ability to maintain financial security throughout retirement. Unfortunately, some financial advisors erroneously believe the client should maximize years of payments from Social Security, whereas others focus exclusively on a present-value break-even age, or money’s worth, analysis. In contrast, the authors argue that basing the decision on only one way of looking at the question is insufficient and propose that practitioners use a comprehensive decision model that accounts for the net present value, longevity risk and Social Security legal strategies in properly framing the solution. Planners working with clients need to set out all the options before clients can select the factors they value the most for their unique situation.

December, 10 2011 Radio Show

December, 3 2011 Radio Show

November, 19 2011 Radio Show  

November, 12 2011 Radio Show  

November, 5 2011 Radio Shows  

October, 22 2011 Radio Show  

October, 8 2011 Radio Show  

October, 1 2011 Radio Show  

September, 10 2011 Radio Show  

September, 10 2011 Radio Show  

September, 3 2011 Radio Show  

August, 20 2011 Radio Show 

August, 13 2011 Radio Show 

 Insure Your Retirement Funds Against Loss

Are you concerned about the effects of the market gyrations on your 401 (k)? Do you worry if you will have enough money to last the rest of your life?

Maybe stock-picking isn’t your favorite pastime. You open your 401 (k) statement either with fear or excitement depending on recent market performance. You have had to choose various stocks, bonds and mutual funds without the benefit of personal, face-to-face, ongoing retirement advice and strategies.

 The volatility of the market makes choices difficult. So, what options are there?

If you are planning on retiring, get educated on your options so you can make informed decisions. Whether you are retiring at 55 or continue to work and want to secure your retirement, you do have options.

You can continue to grapple with the volatile market situation or you can chose to rollover your 401 (k) to a self-directed IRA that will give you safety, growth and guarantees.

Per the Raytheon Benefits Handbook, “If you are age 59 1/2 or older, you may withdraw before-tax money you have contributed to your account for any reason without penalty” Note that your RAYSOP component and RISP account are not accessible for withdrawals while you are still working at Raytheon.” This would allow a rollover. Advantages of Rolling Over Your 401 (k) Now When in the market, you can’t determine how much you will have for income in retirement because of market instability. There are many 60+ year-olds who had to put off retirement because their 401(k)s were decimated in 2008.

Today there is a safe, guaranteed alternative to the market called Fixed Indexed Annuities. These are insurance products that:

•  Insure your retirement funds against loss 
• Provide guaranteed growth at 4-8% •
• Provide guaranteed income for life •
• Give you the ability to participate in market gains with no losses •
• Allows you to plan for the lifetime income you desire

The example below illustrates, a 60 year old, rolling over his 401 (k) into a Fixed Indexed Annuity IRA showing how much income will be generated annually for life starting at age 65 or age 70:*

Age 65 Age 70 $200,000 will generate $14,039 $ 21,501 $300,000 will generate $21,058 $ 32,252 $400,000 will generate $28,078 $ 43,002 $500,000 will generate $35,097 $ 53,753

You “pensionize” your IRA. This is income you can not outlive. Even if you run out of money, you will not run out of income. Unlike expensive variable annuities that can have fees from 2% to over 4%+ while still exposing you to market risk, the only expense is less than 1% with most Fixed Indexed Annuities and all market risk is eliminated.

When income is taken, it can be taken jointly so that a spouse will continue to receive lifetime income after the death of the other spouse.

Insure Your Retirement Against Loss

When you insure your car, you transfer the risk to an insurance company in the event of a car accident. The same applies for your homeowners insurance, life insurance, and health insurance. With an annuity, you insure your retirement funds by transferring all risk to the insurance company.

When you buy an annuity you have a plan you can count on for life.

If you are currently retiring or over 59 1/2 and still working, now may be the perfect time to capture your gains and transfer your 401 (k) to a Fixed Indexed Annuity. Several companies offer upfront bonuses up to 10%.

You have a choice. Continue to expose your retirement funds to market risk or insure them against loss. You can have peace of mind and a lifetime plan with a fixed indexed annuity.

Susan L. Moore Vault

Retirement Specialist

President, Moore Financial Strategies

520-296-4464

www.moorefs.com

susan@moorefs.com

*These quotes are current at the time of this writing but subject to change