Retirement Goals

What type of lifestyle does the client plan to adopt during retirement?

Estimate Financial Status at Selected Retirement Age

Does the client expect to have lower living expenses during retirement?  Consider all sources of income, including Social Security, pensions and other benefits, along with assets, expenses, and liabilities, including outstanding debt and mortgage payments and projected income tax bracket.

Determine the Additional Monthly Income Desired to Meet Their Goal

Calculate additional monthly income needed to fund the client’s projections.  Then determine how much the client would like to have accumulated in a deferred annuity by the projected retirement date.

Eliminate Certain Products

Next, there are other steps needed before selecting a particular product type, face amount, or premium amount.  Understanding the client’s circumstances allows you to eliminate certain types, levels, or amounts of product that may be inappropriate.

What’s Affordable

Clients should determine how much disposable or discretionary income they can realistically dedicate to the expected or required premium payments.