Life insurance can also be used to save for retirement with many advantages not available in traditional retirement vehicles such as a 401(k) or IRA. If you already have retirement vehicles such as a 401(k) or IRA, or you’re looking to improve or start your retirement savings, an Indexed Universal Life (IUL) Insurance or Annuity would be the perfect fit.

With an IUL you won't have to worry about contribution limits, losses in the market, or management/advisory fees. In addition you can use this to build a tax free retirement in the future. With an annuity, you won’t have to withdraw a specific amount each year as you would with an IRA, and you won’t have to face the risk of market loss in the event of an economic downturn similar to an IUL. During the accumulation period, you would make a lump sum or series of regular payments to fund your annuity. When you’re ready to start receiving payments, you would “annuitize” your contract and the insurance company would provide payments on a schedule you choose.

Your annuity payouts could contribute to medical expenses, a mortgage, a vacation, or a child’s college education. Annuities can also supplement payouts you receive from other retirement funds or Social Security. You can learn more about how IUL’s and Annuities can be a key component in your overall retirement plan by visiting our Retirement Planning page.