Case Study | Income Now

Bob, age 65, has $500,000 in retirement savings and needs to take income immediately. He invests $500,000 in IncomePlus.

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In this example, Bob’s initial deposit establishes a Guaranteed Withdrawal Balance of $500,000.Within 16 years, his investment value declines to zero. However, with IncomePlus, he can continue to receive an annual Lifetime Withdrawal Amount of $25,000 (five per cent of $500,000) for the rest of his life.

Look how Bob benefits when he invests $500, 000 and the markets do well.

In this example when markets perform well, IncomePlus can lock-in investment growth and reset Bob’s income to a higher value every three years. As a result of the reset in year 15, Bob will be able to withdraw an annual amount of at least $48,906 from year 16 and on for the rest of his life. If markets continue to perform well, Bob’s annual guaranteed income can continue to increase.