Many Americans are worried about their retirement due to economic uncertainty. Workers may no longer dream of their golden years but are haunted by the prospect of a retirement without enough money. Consumers want to take control and reduce risk. Financial professionals can tailor a plan for each individual, but permanent insurance is a key part of any retirement strategy. It can provide security and growth for those who have many years to work.
Permanent life insuranceIt provides death protection and cash value accumulation. This can make it a valuable source of retirement income. Permanent policies have a tax-deferred growth that allows cash to be used for any purpose.* This kind of life insurance offers a measure of flexibility that enables consumers to make choices and better manage their financial lives and can augment other income sources like Social Security, 401k savings or pensions for those lucky enough to have them.
A permanent life insurance policy could also provide an income stream that may help to cover this expense. “gap years,”which falls between the time when Medicare or Social Security benefits are started and retirement. A financial professional will be needed to help retirees make the most of their resources throughout retirement and during the gap. Consumers should be aware that a permanent policy of insurance could make all the difference in whether you retire at an age you choose or when Social Security and qualified plan distributions kick in. The additional resource could also allow a retiree delay the start Social Security payments. This will eventually lead to larger monthly sums.
A permanent insurance policy can help you cover unexpected expenses, such as healthcare costs, college tuition, or the cost of starting a family business.
No matter how long-term insurance is used, a policy, if properly designed, can provide an income and estate tax-free death benefit. Retirement income can be spent knowing that it will leave a legacy for their loved ones or to a charity.
Visit this site to learn more about leaving a legacy, and how permanent life insurance can help you strengthen your retirement plan. www.pennmutual.com.
*Accessing cash values may result in surrender fees and charges, may require additional premium payments to maintain coverage, and will reduce the death benefit and policy values.
