Posted by When chatting with clients recently, they began to "complain" that there are too many properties in various places. Although they have been generating rental income, it takes too much time to take care of them.
Especially now that I am in my 50s, not only do I no longer want to buy a house or manage a house, but as my energy decreases, I gradually start selling houses.
"It's become a bit like working in industry... I'm a little tired, but I still want to relax," the client said frankly, "I just can't stop..."
AboutCompare the pros and cons of buying a house, 在American Life Insurance Guide CommunityThere have been many discussions in the Internet. Different age groups, the valuation of one's own time and energy, and the experience preference of heavy assets and light assets will all affect our financial decisions.
A pension insurance account that guarantees monthly income will provide a cash flow plan with clear goals and provide long-term "Peace of Mind" for this group of people.
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How much retirement income can $100 million generate?
50 years old, $100 million in principal, under the current market interest rate (as of 11/28/2023*), open a retirement income annuity account, let the insurance company take care of it for 10 years, and start receiving lifelong pension after the age of 65. How much can you guarantee every month? Where's the money?
~ $ 10,700/Month
Based on a monthly withdrawal of $10,700, the cumulative pension received each year is close to $128,000.In the 8th year after receiving the pension, the principal will be returned, and the pension will continue to be paid for life based on this monthly income.
This type of retirement accountWhere is the key point? The word "guarantee".
The vast majority of life insurance or retirement annuity insurance plans, plans, and numbers may look good, but as I shared before, there are a lot of controversies and points of view in the plans, as well as the numbers on the plans.It is more about completing the role of education.
For pension insurance that provides lifetime income, the key points are whether the monthly income figure is "guaranteed" and whether this "guarantee" is written into the contract.
Some commercial retirement pension insurance accounts, which operate on the same principle as social security pensions, can clearly provide guaranteed pension income.
Let me mention important things three times. The amount of pension you can receive each month is guaranteed by the insurance company and is clearly written in the contract.
The meaning behind this sentence is,"As an insurance policy holder, I do not bear any market risks, and the insurance company bears the market risks."
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Article summary
In this article, I compared different brands of insurance on the market and calculated the payback period. In fact, it doesn’t mean much.“Guaranteed return of capital in 8 years”This number and language are more like a reason to feel more at ease.The reason is very simple. Our main goal is no longer to accumulate assets, but to build cash flow.
Take the investment in buying a house as an example. Suppose that the price of a $10 million property doubles to $100 million in 200 years. If this prerequisite is met, if this asset cannot generate a rental cash flow of close to 6.5% for us every year, then the target has not been reached. .The assumptions and unknowns associated with this process have caused the post-50s group to take on too many risks and consume time and energy.Relatively speaking, it may be a more user-friendly solution to be able to immediately provide lifetime cash flow figures and guarantees. (Full text ends)
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(click to enter:Self-service quote for US dollar retirement account)
(*The information provided on this post has been developed by thelifetank.com for general informational and educational purposes for Asian American community. The Information should neither be construed as a provision of personalized financial or insurance advice nor as a guarantee that a certain level of results will be achieved. The author is not a tax or law firm, and does not provide tax and legal advice. The information contained in this article should not be construed as providing personalized financial or insurance advice and is not intended for sale. The author It is not a tax or law firm and does not provide tax or legal advice.)
