http://www.sgmoneymatters.com/retire...-retire-happy/
Why AXA Retire Happy is the best retirement plan
If you are in your 30s or 40s and you want to a plan which pays you income until are you 70 or 80, there are really 3 things you should concern:
You need a retirement income that is guaranteed
You need to safeguard your retirement income against inflation
You need a backup plan if you live too long
That is why Retire Happy is the right choice.
It offers you a guaranteed stream of income
The retirement income increases at 3.5% per year to combat inflation
It pays you a “longevity benefit” at the end of your policy term if you live beyond that.
How Retire Happy works
The example below illustrates how AXA Retire Happy generates the stream of income for you. This assumes
You are 45-year old now
Your desired retirement age is 65
You will pay 15 years premium
You will receives guaranteed retirement income for 15 years till you are 80
What if you seem to start too late
I personally like this plan a lot because it allows you to choose. There is great flexibility of the plan to match your unique situation. You are really spoilt for choice if you know how to use the plan to your advantage.
retire-happy-plan-optionsIt means that even If you are in your 50s, you can still set it up with single premium and it becomes an annuity for you.
Moreover, If you have already saved under supplementary retirement scheme (SRS), it is much better to allocate the retirement funds into this plan than leaving it with the SRS bank account.
Some other retirement plans in the market still force you to take up insurance coverage with the insurer. This plan is a pure savings plan and no extra insurance charges. Even if a person with health condition can take up the plan.
The problem? More is Less
When you are giving so many choices, you need to do a lot of homework to make the right decision for yourself.
Learning to choose is hard. Learning to choose well is harder. – Barry Schwartz, The Paradox of Choice
To choose the right retirement plan, you need to
Think through when you can afford to retire
Calculate how much you need to maintain the lifestyle you want
Understand what resources you have now and their projected future value
Work out how much you need to save and how much you should allocate now
You can spend the next weeks or months trying to figure this out all by yourself, or you can consider professional help.
As a licensed financial adviser, I have spent more than 10 years helping people plan for their retirements. I offer a no-obligation retirement discovery meeting if you fill up your desired retirement in the form below.
Your investment is just 30 minutes of your time talking to me, but you are likely to put your once-in-a-lifetime retirement on fast track. So the choice is yours…