Many people have retirement savings and mistakenly believe that just because they have a bucket of money - this means they have a retirement strategy. Retirement funds do not equal a retirement strategy. With a strategy, most people enter a period of life when instead of making fewer complex financial decisions (like how to manage their money) - they are making more. There is a better way and it involves setting up your own personal pension!
What happened to the pensions? (2:13)
One day you will get tired of working,
but your bills will NOT get tired of being paid, am I right? Also, do you know someone with a pension? I see them on Facebook and they're always smiling!
Building your personal pension
Here is the big picture. In retirement, you will need to convert some of your assets into a stream of income to comfortably pay your expenses.
Does it make sense to do this as efficiently as possible?
Allianz 222 deferral explained (6:00)
Many future retirees use a deferred annuity to replicate a personal pension plan.
The advantage of a deferred annuity like the 222 is that it cannot lose market value. Returns can vary and it's important that you choose the right insurance company. For this demonstration I will share how the Allianz 222 grows during the deferral phase.