By Linda Blom, 28 August 2020
You’ve worked hard for your retirement savings. You want peace of mind knowing that you have a sustainable retirement income and that you could leave some capital for your family when you pass away. It’s a lot to ask for, but all of it is possible. In this article we unpack how having your cake and eating it is well within reach, even in this time of economic turmoil.
A single product or solution will not tick every box for you. So, combining retirement income products and features is absolutely the way to ensure the best outcome for your retirement. First, let’s consider some of the individual retirement income solutions on offer (see the image below).
An investor’s requirements for a guaranteed retirement income, income growth and the need to leave capital for their loved ones, have forced intermediaries to look at multiple solutions that work together in a well-rounded, diversified retirement income portfolio. This is a sure-fire way to ensure the best retirement outcome.
Retirees are as diverse as their taste in shoes. So, there really isn’t a one-size-fits-all product or solution when it comes to your retirement income. Your financial intermediary will blend a solution based on financial goals that are unique to you. Here are two examples of possible combination solutions:
Sanlam Income with Capital Preservation, which offers:
A Living Annuity, which offers:
A Living Annuity, which offers a guaranteed lifelong income.
In every combination solution, as in every financial plan, the investor’s unique personal circumstances and financial needs are taken into account along with their income and legacy aspirations for the future. Getting to the custom-made solution takes time and skill. Here are a few things you should consider if you are at this particular life-stage.