You're working, and you've got a family that depends on you - both now and down the road. Where do you invest your money? Do you borrow against the equity in your house? Through a preferred provider relationship with USAA, The American Legion can provide expert financial advice to just about any question.
We love to see retired folks in an ideal situation where their fixed expenses (housing, food, transportation, insurance) are covered by guaranteed sources of income (Social Security, corporate pensions, military retirement). If you have a gap between fixed expenses and guaranteed income, an immediate or income annuity may be appropriate to cover that gap. The monthly income you receive is based on the amount of money you bring to the table and the terms of the contract. For example, you can elect single life or joint life. Normally, if you’re married you’d select a joint life contract that would continue to pay as long as either you or your spouse is alive. In addition to “single versus joint life” you’ll also have to decide whether you want payments to continue for a set period of time – whether you’re alive or not. Selecting this option ensures that payments will continue to your beneficiaries even if something happens to you soon after purchasing the annuity. Finally, you’ll have to decide whether you would like some sort of annual adjustment or inflation rider. If you elect this, your initial payment will be lower, but you’ll receive higher monthly payments as the years go by. With all of those variables, it’s difficult to give you an accurate estimate. If we assume a single life with a 15-year guaranteed payout for a 63-year old male the payout would probably be around $220-$250 per month, but if you give USAA a call at 877-699-2654 one of our representatives will be able to assist you.