Guaranteed Income For Life

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This is the Truth Network. Welcome to Finishing Wealth, brought to you by cardinalguide.com, with certified financial planner, Hans Scheil, best-selling author and financial planner, helping families finish well for over 40 years. On Finishing Well, we'll examine both biblical and practical knowledge to assist families in finishing well, including discussions on managing social security, Medicare, IRAs, long-term care, life insurance, investments, and taxes. Now let's get started with Finishing Well. So Finishing Well is a general discussion and education of the issues facing retirees.

cardinalguide.com, Cardinal Advisors, and Hans Scheil CFP sell insurance. This show does not offer investment products or investment advice. Welcome to Finishing Well, with certified financial planner Hans Scheil and today's show, how fun. I love the topic. It's called guaranteed income for life.

Like, wow, who wouldn't take that deal? Guaranteed income for life. So we're going to be talking about another case study here that Hans is going to share with us. But along those lines, I don't know if you've ever thought about the idea of guaranteed life, so to speak. So, you know, it's kind of neat that when Jesus talked to the woman at the well, you might remember, you know, he asked her for a drink and, you know, then he said, you know, he who drinks at this water is going to thirst again, but if you drink of the water that I have, you know, you will never thirst. And I don't know if you've ever thought about how connected that is to what happened in the Garden of Eden that there was two trees there.

One was the tree of knowledge and the other one was the tree of life and had our ancestors taken the better choice. You know, they had something so much better than you can ever imagine of guaranteed fruit for life, guaranteed everything that you could imagine. So as we go through this video, as we go through this recording today—Sharon, of course, on Hans's video that he's done on the same subject—at the end, he checked off these boxes. And so when you think about Jesus, and if you'll accept his living water, it checks off all the boxes, right? Social Security, it checks off that box because you're secure, right? Forever. Long-term care, like, man, that's the ultimate long-term care plan.

Taxes, you never have to worry about taxes, never have to worry about retirement income. So, you know, as always, Hans, we just want to share that, you know, Jesus is the ultimate finishing well plan. Well, you know, I've gotten so many calls. We just put this up on YouTube Tuesday, this video, The Guaranteed Income for Life. And those of you that want to subscribe to my YouTube channel, all you got to do is find us, Cardinal Advisors, O-R-S, Advisors, and on YouTube, and then everybody gets notified.

We put up a new video on Tuesday. But then people that are our customers, or have given us their email address, they get this video emailed to them. And we've had so many people that we know that watch this, that just basically called us up and placed an order for one of these, and we're having to kind of go, no, no, wait a minute.

I'm not sure this is going to be right for you, which is what we do with everything. I don't like somebody coming in and really placing an order because the policy that I recommended for this guy was right for him, but the particular configuration and that kind of thing, it's not going to be right for everybody. But anyhow, it's just, it's really struck me that this guaranteed income for life concept, just how that affects people that, you know, sign me up.

So yeah, yeah, that it's really spectacular. I love this case study. Yeah, so this, you know, just talking to somebody this morning that we were talking to them about Medicare and guy just retired, and he was the one that just most recently said to me, yeah, yeah, we want to get this.

And what the whole concept is and what we did is we talked about a particular client. This guy's a medical doctor. He's an anesthesiologist. He's 64 and a half, 65. His wife is 65.

They're in a far distant state from North Carolina. And he's got about 5 million bucks, most of which is in a retirement account. And probably a million has been converted already to Roth.

So this guy's been very diligent, saved. And, you know, as a doctor made a high income for a lot of years. And now he's been watching all my videos, and he's very much up on Roth conversions. He's very interested in long-term care insurance.

I mean, he's basically asking for everything we got. And we wrote his wife and him some long-term care insurance with IRA money. And he was not accepted. So the insurance company said, we're not taking you.

We'll take your wife, but we're not taking you. And so we started talking about alternatives for him. And one of the alternatives is this annuity. And the annuity, once I explain it to you, it has a feature that if you need long-term care, either at home or in a facility, that it's going to pay a very enhanced income for that. I mean, it's going to pay him another $70,000 a year for as long as there's money in the policy, that extra $70,000 just for long-term care.

And there's no health questions in this either. So people that already have chronic illnesses like he does can buy it. So let me tell you the story a little bit just to lay the groundwork. We took a figure of $850,000 of his traditional IRA money. So this is money that he has not paid tax on. And that was already slated for conversion to a Roth.

And we were going to help him with that. And over the next four years, he was going to turn that whole $850,000 of traditional IRA into Roth IRA, which means he's going to pay the taxes. And he was going to do that at the rate of $100,000 in 2022, $150,000 in 2023, $250,000 in 2024, and $350,000 in 2025. And he has this plan starting in two years of cutting back his work schedule slowly. And so when he does that, his income goes down. And it then allows him to convert more to stay in a specific tax bracket.