01
How Much Income Will I Need?
What will your regular expenses look like after the paycheck stops?
Retirement Guidance
Retirement Isn't Just About Growing Money. It's About Living on It.
Eventually the question changes from “How much can I accumulate?” to “How do I turn what I've built into income I can actually live with?”
David Wagner helps clients understand insurance-based retirement strategies and annuity concepts in plain English before discussing whether any particular solution may fit.
Retirement Income
Annuity Education
Plain-English Guidance
Build the Income Conversation.
Not just the account balance.
The Retirement Shift
Saving for Retirement and Living in Retirement Are Different Jobs.
During your working years, a paycheck replenishes what you spend.
Retirement can change that equation. You may need to coordinate Social Security, pensions, savings, investment accounts and insurance products while thinking about income, taxes, healthcare, inflation and how long your money may need to last.
That is why retirement planning is about more than reaching one account-balance number.
The Questions That Matter
A Retirement Strategy Should Solve Real Problems.
Before talking about products, start with the questions your retirement actually needs to answer.
02
Where Will That Income Come From?
Social Security, pensions, savings and other assets may each play different roles.
03
How Long Could Retirement Last?
Retirement income may need to support you for decades, not just a few years.
04
How Much Market Risk Am I Comfortable With?
Retirement can change how you think about volatility, losses and access to money.
05
How Much Liquidity Do I Need?
Money reserved for emergencies should be considered differently from money committed to longer-term strategies.
06
What Do I Want to Leave Behind?
Income needs today can interact with beneficiary and legacy priorities later.
Retirement Income
Start With the Bills That Don't Retire When You Do.
Housing, utilities, food, transportation, insurance and healthcare expenses don't disappear because you've stopped working.
One useful retirement conversation is identifying recurring expenses and then understanding which income sources may help cover them.
Potential Income Sources
01
Social Security
A common foundation of retirement income.
02
Pension Income
Available to some retirees depending on
employment history.
03
Retirement Accounts
IRAs, employer plans and other accumulated
assets.
04
Personal Savings
Liquid assets and other savings may play
important roles.
05
Annuity Income
Certain annuity contracts can be structured
to provide income, subject to contract terms.
Annuity Basics
So... What Exactly Is an Annuity?
Strip away the jargon and an annuity is an insurance contract.
Depending on the type of contract, annuities may be used for goals such as accumulation, principal protection from direct market losses, or creating retirement income.
The details matter. Different annuities can have very different crediting methods, liquidity provisions, surrender periods, fees, income features and tax considerations.
THE IMPORTANT PART
“Annuity” Is a Category — Not One Product.
Asking whether an annuity is good or bad without knowing the type, terms and objective is a little like asking whether a vehicle is good without knowing whether you're looking at a pickup truck, sedan or school bus.
Start with the job the money needs to do.
Common Annuity Concepts
Different Contracts Are Built for Different Jobs.
These are general educational descriptions, not product recommendations.
SPIA
Immediate Income
A Single Premium Immediate Annuity is generally funded with a lump sum and begins providing contractually defined income relatively soon after purchase.
Often discussed when the primary goal is converting
a portion of assets into an income stream.
FIA
Fixed Indexed Annuity
A fixed indexed annuity credits interest according to contract terms that reference the performance of an external market index.
The contract does not directly invest your premium in
the referenced stock-market index.
MYGA
Multi-Year Guaranteed Annuity
A MYGA generally credits a stated fixed interest rate for a specified period, subject to the insurer's contract terms.
Often compared conceptually with other fixed-rate
savings approaches, although the protections,
liquidity, taxation and insurer backing differ.
Important:
Annuities are insurance products. Contract guarantees are
subject to the claims-paying ability of the issuing insurance
company. Withdrawals, surrender charges, tax treatment and
other provisions vary by contract.
“
A CD has FDIC insurance. Does an annuity have the same kind of guarantee?
An Important Difference
Bank Products and Insurance Products Are Not Protected the Same Way.
Annuities are not bank deposits and are not insured by the FDIC.
Contractual guarantees in an annuity are backed by the issuing insurance company and depend on that company's claims-paying ability.
State insurance guaranty associations may provide certain protections if a member insurer becomes insolvent, subject to state law, coverage limits and eligibility rules. Those protections are not the same as FDIC deposit insurance and should not be used as a sales inducement.
Retirement Is About Tradeoffs
Protection, Income and Liquidity All Matter.
No financial product solves every retirement problem at once.
Money that may be needed tomorrow should not automatically be treated the same way as money intended to support income years from now.
Income
How will recurring retirement expenses be funded?
Liquidity
How much money should remain readily accessible?
Risk
How much market volatility are you willing and able
to accept?
Growth
What role should future accumulation play?
Longevity
How long might the retirement strategy need to work?
Legacy
Is leaving assets to others part of the objective?
Retirement doesn't need another sales pitch.
It needs a clear conversation.
The Wagner Approach
Start With What the Money Needs to Do.
The product should come after the objective — not before it.
David starts by talking through your income needs, existing assets, time horizon, access to money and comfort with risk before discussing whether an insurance-based retirement solution belongs in the conversation.
✓
Clarify retirement goals
✓
Review existing income sources
✓
Discuss liquidity needs
✓
Explain product tradeoffs
The Process
Three Steps. Start With Your Retirement — Not a Product.
1
Understand the Situation
Discuss income needs, Social Security, pensions, savings, retirement accounts, liquidity and major financial priorities.
2
Understand the Options
Learn how relevant insurance-based retirement strategies work, including their potential benefits, limitations and tradeoffs.
3
Decide What Fits
If a particular approach appears appropriate, review the actual contract details before deciding whether to move forward.
Common Questions
Straight Answers About Retirement & Annuities.
These answers are general and educational. Contract terms, taxation, eligibility and suitability can vary significantly.
Is an annuity an investment?
An annuity is an insurance contract issued by an insurance company. Different types of annuities have different features and risk characteristics.
Can I lose money in an annuity?
The answer depends on the type of annuity, contract terms, withdrawals, surrender charges and other factors. Fixed and fixed indexed annuities work differently from variable annuities. The specific contract must be reviewed before making conclusions about risk.
Is an annuity FDIC insured?
No. Annuities are insurance products and are not FDIC-insured bank deposits. Contractual guarantees are backed by the issuing insurer and subject to its claims-paying ability.
Can an annuity provide income for life?
Certain annuity contracts and payout options can provide lifetime income subject to their terms and conditions. The exact structure, access to principal and beneficiary provisions can vary.
Is all of my retirement money supposed to go into an annuity?
No universal allocation is appropriate for everyone. Liquidity, income needs, assets, risk tolerance, time horizon and other circumstances should be considered before any insurance recommendation is made.
Does talking with David mean I have to buy something?
No. Contacting Wagner Integrity Insurance does not obligate you to purchase an insurance product.
Important Retirement Information
Understand the Contract Before You Decide.
Annuities are insurance products. Product features, crediting methods, interest rates, surrender periods, withdrawal provisions, income options, fees and availability vary by insurer and contract.
Guarantees associated with an annuity are subject to the claims-paying ability of the issuing insurance company. Annuities are not FDIC-insured bank deposits.
Withdrawals or distributions may have tax consequences, and withdrawals before age 59½ may be subject to an additional federal tax penalty unless an exception applies. Consult an appropriate tax professional regarding your individual circumstances.
This website provides general educational information and is not intended to provide investment, legal or tax advice.
Retirement Starts With a Conversation
You've Spent Years Building It. Now Figure Out What You Need It to Do.
Bring the accounts, the questions and the retirement you are trying to create. David can help explain the insurance side of the conversation.