We would love to hear from you. Click on the ‘Contact Us’ link to the right and choose your favorite way to reach-out!

wscdsdc

media/speaking contact

Jamie Johnson

business contact

Victoria Peterson

Contact Us

855.ask.wink

Close [x]
pattern

Industry News

Categories

  • Industry Articles (16,526)
  • Industry Conferences (3)
  • Industry Job Openings (38)
  • Negative Media (138)
  • Positive Media (73)
  • Sheryl's Articles (617)
  • Sheryl's Blogs (175)
  • Wink's Articles (241)
  • Wink's Blogs (255)
  • Wink's Press Releases (93)
  • Blog Archives

  • February 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020
  • September 2020
  • August 2020
  • July 2020
  • June 2020
  • May 2020
  • April 2020
  • March 2020
  • February 2020
  • January 2020
  • December 2019
  • November 2019
  • October 2019
  • September 2019
  • August 2019
  • July 2019
  • June 2019
  • May 2019
  • April 2019
  • March 2019
  • February 2019
  • January 2019
  • December 2018
  • November 2018
  • October 2018
  • September 2018
  • August 2018
  • July 2018
  • June 2018
  • May 2018
  • April 2018
  • March 2018
  • February 2018
  • January 2018
  • December 2017
  • November 2017
  • October 2017
  • September 2017
  • August 2017
  • July 2017
  • June 2017
  • May 2017
  • April 2017
  • March 2017
  • February 2017
  • January 2017
  • December 2016
  • November 2016
  • October 2016
  • September 2016
  • August 2016
  • July 2016
  • June 2016
  • May 2016
  • April 2016
  • March 2016
  • February 2016
  • January 2016
  • December 2015
  • November 2015
  • October 2015
  • September 2015
  • August 2015
  • July 2015
  • June 2015
  • May 2015
  • April 2015
  • March 2015
  • February 2015
  • January 2015
  • December 2014
  • November 2014
  • October 2014
  • September 2014
  • August 2014
  • July 2014
  • June 2014
  • May 2014
  • April 2014
  • March 2014
  • February 2014
  • January 2014
  • December 2013
  • November 2013
  • October 2013
  • September 2013
  • August 2013
  • July 2013
  • June 2013
  • May 2013
  • April 2013
  • March 2013
  • February 2013
  • January 2013
  • December 2012
  • November 2012
  • October 2012
  • September 2012
  • August 2012
  • July 2012
  • June 2012
  • May 2012
  • April 2012
  • March 2012
  • February 2012
  • January 2012
  • December 2011
  • November 2011
  • October 2011
  • September 2011
  • August 2011
  • July 2011
  • June 2011
  • May 2011
  • April 2011
  • March 2011
  • February 2011
  • January 2011
  • December 2010
  • November 2010
  • October 2010
  • September 2010
  • August 2010
  • July 2010
  • June 2010
  • May 2010
  • April 2010
  • March 2010
  • February 2010
  • January 2010
  • December 2009
  • November 2009
  • October 2009
  • August 2009
  • June 2009
  • May 2009
  • April 2009
  • March 2009
  • November 2008
  • May 2008
  • February 2008
  • August 2006
  • Diamonds Are Forever…So Are Annuities

    November 17, 2011 by Raymond J. Ohlson

    Posted By: Editor On 11/9/2011 10:10:00 PM

    By Raymond J. Ohlson
    AnnuityNews.com 

     

     

    Most people marvel at the lighthouse, a simple structure that played such a big role in navigating the sea. The lighthouse was designed to emit a beacon of light as an aid for ships at sea or on inland waterways.

    Lighthouses have marked dangerous coastlines and provided safe entry into harbors. The  personal pension plan does much the same regarding retirement income. It helps you avoid the dangerous financial reefs and the turmoil and destruction that can follow.

    The old retirement model of past generations is gone. Back then, along with the gold watch, the company expected to pay retirement benefits for only three to four years. My, how things have changed.

    Today’s retirement can last 25, 30, 35 years or more. The new retirement model is all about longevity. That is why the personal pension plan, a non-qualified program, is important in assuring that today’s retirees have an income guaranteed long after the gold watch has quit working.

    First, we must start out by asking our clients the following questions:

    1. What type of lifestyle do you want to maintain during retirement?

    2. What life income is available to support that lifestyle? (Pensions, Social Security, 401(k))

    3. What amount of essential and discretionary income do you need?

    4. What financial lifeboats are available to sustain your lifestyle should the unforeseen occur?

    5. Finally, how much do you need and when do you need it?

    That’s the beauty in helping your clients develop their own personal pension plan. It is not a one-size-fits-all model. It is all tailored to their needs and desires. There are no wrong decisions. Most importantly, the personal pension plan is designed, funded, and implemented with fixed guaranteed products. No wishing and hoping, no gambles, only guarantees.

    The personal pension plan provides a stream of income for as long as your client’s retirement journey takes, and not only for your client. If they have a spouse … he or she is afforded the same comfort.

    It appears that the majority of Americans are not very positive about the prospects of having a secured retirement. Even for those lucky enough to have pensions, they know it is unlikely to be sufficient.

    We have all been operating off the same three-legged stool concept that has been used for generations.

    1. PENSIONS: We used to think that this would be enough. It turns out we need more. A recent Towers Watson survey stated that at the end of 1998, 90 of the Fortune 100 companies had a defined benefit pension plan. Today, only 17 of those companies offer such a plan to new hires. Now, most Americans are doing it on their own through 401(k)s. The difference between the “defined contribution” 401(k) and the “defined benefit” pension is all in the guarantees, or lack thereof. When it comes to 401(k)s, we just keep our fingers crossed and hope for good financial winds.

    2. SOCIAL SECURITY: For most baby boomers and for those already retired, Social Security may make it through our lifetimes. However, boomers will need every penny as we haven’t saved enough.

    3. PERSONAL SAVINGS: This is the most important component in planning for a successful retirement. Again, for those retired, the job isn’t over. They still need to have the maintenance plan.

    How are personal savings converted to income? Well, there are many choices: investments, real estate, etc. For those who no longer have a stomach for risk, the choices are fewer. Many Americans are looking for safe money places. Many advisors present Monte Carlo simulations that present different withdrawal scenarios based upon years of past stock market performances. These show that based on different assumptions, you should be safe and not run out of money. Equities are, and will continue to be for many, an important part of their retirement plans.

    But what about those who want a 100 percent guarantee that they won’t run out of money? What is available to them? The answer is the personal pension plan.

    The personal pension is an old idea that is making a big comeback due to its simplicity. It entails separating essential and discretionary income needs, determining the need for increased income in the future, and analyzing assets available for income today and the potential income they would provide. And then determining how much do they need and when do they need it?

    Sounds simple, doesn’t it? That is why it is in such favor today. Many Americans are taking some at risk money and placing it in safe money places. Some have determined that they are at a place in life where they want zero investment risk and are willing to sacrifice the potential of great returns for the comfort and tranquility of guaranteed income for life that cannot be outlived.

    When most boomers or retirees are asked, “How long do you want this income to last?” They usually say “Forever.”

    When they ask the advisor, “Why are you using annuities to accomplish these goals?” The answer is the theme song for the James Bond 1971 film of the same name …

    Diamonds are Forever … and so are annuities.

     

     

    Raymond J. Ohlson, CLU, is president & CEO of The Ohlson Group, www.ohlsongroup.com.

     

     

    © Entire contents copyright 2011 by InsuranceNewsNet.com Inc. All rights reserved. No part of this article may be reprinted without the expressed written consent from InsuranceNewsNet.com.

    Originally Posted at AnnuityNews on November 9, 2011 by Raymond J. Ohlson.

    Categories: Industry Articles
    currency