Sometimes it seems like everyone is looking for immediate income and never finds the right deal. But for Mary, the perfect immediate income deal found her.
Immediate Income Example:
Mary is a nurse, still working in her late 60s. She had accumulated over $300,000 in her IRA, but did not have a guaranteed income to see her through retirement.
But she started working with us and carefully did her research. We spoke with all her friends and advisors and she got quite comfortable with the process and the annuities.
She described her needs and we had on our tickler list what she needed. We called her immediately when the right deal came around. Because she understood the process and has done her homework, she was able to make a quick decision and we secured the perfect case for her.
For $240,000, she purchased a 23 year immediate income stream paying over $1400 per month. The 5% rate of return was more than double what she could find in the period certain immediate annuity markets, and much better than lifetime income options from hybrid and indexed annuities. Plus, she still had $60,000 left over in her IRA for emergency needs and liquidity.
As a health professional, Mary knew that her own health was not the best, and she did not expect to live into her 90s. Plus, with Social Security, she felt that she could handle any additional risk in case she outlived this income stream.
Mary used her IRA to purchase a New York Life immediate income SMA at a rate of 5%. She consulted with all of her friends, and even brought them in on a conference call with us as her own private board of advisors.
After buying her annuity, several of her friends decided to investigate SMA’s for their own needs as well.
Mary receives her first check in April of 2013, a few months before she plans to retire. With a company like New York Life at her back, she’s looking forward to her golden years.