Generating An Income

You've undoubtedly read in the media that Americans are living longer. A 65-year-old today can expect to live about 17½ more years. By 2070, life expectancy at age 65 is projected to be an additional 20½ years, according to research by the Social Security Administration¹. Even if you save for retirement, outliving your savings and assets is a real possibility.

Social Security and pension funds may still leave you short if you want to retire and have a monthly income at your current spending and lifestyle levels. One way of improving your savings and making your financial resources last is to build a solid, long-range financial plan.

A single premium annuity can be part of a retirement plan. Single Premium Immediate Annuities* are excellent tools for growing your savings and creating a retirement income independent of your employer's pension and Social Security benefits.

Low-Risk, Interest-Earning Accounts—Unless you have a lot of money waiting in your nest egg, retirement is typically a time when you will want to invest in guaranteed interest-earning vehicles, such as Single Premium Immediate Annuities or certificates of deposit. Single Premium Immediate Annuities offer a guaranteed income option that can never be outlived. Rates on deferred annuities vary during the accumulation period, but not during the payout (annuitization) period.

Higher-Risk Income-Earning Opportunities—If you are fortunate to be leaving your employment with a nice monthly pension or have accumulated large amounts of discretionary cash or assets, you may want to consider a variable annuity,³ in which your rate of return is connected to the stock market. Or you may want to consider an index annuity with the returns linked to a stock market index.

¹Social Security Administration Communications to Congress, Testimony of Commissioner Kenneth Apfel, February 23, 1999.

²Life income SPIAs are offered through businesses with whom Beneficial has a strategic alliance, and SPIAs designated to pay for a certain number of years are offered through Beneficial Financial Group directly.

³Variable annuities are sold by prospectus. Please consider the investment objectives, risks, charges, and expenses carefully before investing. The prospectus, which contains this and other information, can be obtained by calling your financial advisor. Read it carefully before you invest. Variable annuities are long-term investments suitable for retirement funding and are subject to market fluctuantions and investment risk.