Pension Booster

At retirement, many people are often offered pension choices from their employers. These choices often include the following:

• Monthly payment for their life – A pensioner receives monthly payments for his entire life. At his death, the pension payments stop. The heirs receive nothing.

• Monthly payments for his life and his spouse’s life – As long as either is alive, payments will continue to the pensioner and/or his wife. The percentage a surviving spouse receives can often be chosen as well. For example, if a pensioner chose a spousal benefit of 75%, his surviving spouse would receive 75% of his pension after his death. Once she dies, the payments would stop.

• Lump sum payment – Often, a pension will allow a lump sum choice instead of life payments. Since the lump sum is usually large, it represents the amount of money the pension has set aside to pay for the pensioner’s lifetime benefits. By taking the lump sum, the pensioner gains much more control over his financial future. To avoid immediate taxation, the lump sum is usually rolled into a self-directed IRA and invested.

Many people like the idea of lifetime income and often take one of the life annuity choices instead of the lump sum. However, if they are clever, they often can create lifetime payments which are much higher than the choices offered by the pension. A frequently used strategy to increase lifetime income is to take the lump sum and invest the money in a life annuity. The life annuity works just like the employer pension. However, when you shop around, a higher monthly payment often can be found.

If you are facing a pension choice and would like to see if you can increase your monthly amount, simply to go to the following link for an online quote:

After you enter your age, state, gender, and investment amount, the page will display your payment choices. The annuities listed on this page are a great way for retirees to put more money in their pockets. If you want to compare other types of annuity choices such as joint life annuities, just call my toll-free number for a quick quote.