Have you ever wondered how you can create Income for Life, let alone Tax Free Income for Life?
It is known that it is not how much you have, but how much that you keep which is important. It is not about having a lot of money in retirement, but how much of that money will you receive after the erosion of taxes? If not planned for properly, then you could see a major part of your retirement portfolio be taxed away before it even gets into your hands.
Here are the Typical Challenges;
- How can we create assets today, and maximize the tax efficiency of the money into the future?
- How can we take advantage of current Financial Tools to accumulate assets in a safe and predictable Investment Environment?
- How can we minimize the risk of volatility on our Savings?
- How can we create an Income stream into the future that will not only be Guaranteed for Life, but also Guaranteed to be Tax Free when we receive it?
The answer is simple, use a Tax Free Savings Account (TFSA) with a Guaranteed Minimum Withdrawal Benefit (GMWB) product.
Here you achieve the best of both worlds, and the results are incredible and predictable.
Here is how it can work for you.
Bob is a 40 year old Investor who would like to take advantage of the TFSA opportunity.
In 2012 he is able to Invest up to $20,000 into a TFSA if he has never utilized one before, or he can transfer his current TFSA account to utilize this strategy.
He continues to make the maximum contribution of $5,000 per year until his age of 64.
Bob’s portfolio will create an Income Base of at least $250,000 with a Guaranteed 5% return over his investing life, or the Market Value, whichever is Greater!
This equates to a Minimum Income Stream of $14,000 per year, Completely TAX FREE…
And this Income will continue on for as long as Bob lives, whether he lives till 75, 85, 95 or 105.
And the balance of the account that he does not use in his own lifetime will be passed on to his beneficiaries, free of probate!
According to Jonathan Chevreau Columnist of the Financial Post, Studies show that 90% of Tax-Free Savings Account (TFSA) investments are in low interest savings accounts and term deposits.
This is a perfect opportunity for you to stop wasting your time with near zero interest certificates, and use a TFSA and GMWB together to create a sustainable and tax free stream of Income in your retirement future.
GMWB and TFSA’s together create an incredible union to create Tax Free, Guaranteed Income for Life.