Income Adjusted For Inflation For Life !
In this case, we had a retired mathematician. Hi needs were basic, his situation fair, yet one wrong move and he would have to go back to work.
He had already lost $250,000 in his 403(b) when he met with me for the first time. Fortunately he had no debt, and his house and cars were paid off. He and his wife decided that they could live comfortably on $2,000 per month.
So, with his remaining $600,000 from his crashed 401(k) we went to work and this was his solution.
He did a 3 tier Laddered Annuity with a non-qualified private pension Maximum Tax Advantaged (MTA) Life Insurance Contract.
What he achieved was the following. The first Annuity of $124,153 gave him $2,122 per month for 5 years. The second Annuity gave him $2,459.98 for 5 more years. The non-qualified private pension Maximum Tax Advantaged (MTA) Life Insurance Contract gave him $3,414.58 per month starting in year 11 and running for the rest of his life.
It also set up an instant estate so that God forbid, if he were to pre-decease his wife, she would have $861,835 for herself to re-invest for income for the rest of her life.
As you can see, all his needs and his wife’s needs were aptly met. His income exceeded his desired income requirement and it increased to keep pace with inflation.
