Presentation is loading. Please wait.

Presentation is loading. Please wait. CAC.5068 (05.13) TAKE CHARGE OF YOUR FINANCIAL FUTURE A Woman’s Guide to Investing for Retirement

Similar presentations

Presentation on theme: " CAC.5068 (05.13) TAKE CHARGE OF YOUR FINANCIAL FUTURE A Woman’s Guide to Investing for Retirement"— Presentation transcript:


2 CAC.5068 (05.13) TAKE CHARGE OF YOUR FINANCIAL FUTURE A Woman’s Guide to Investing for Retirement

3 2 TODAY, I set a new goal.

4 3 TODAY, I found my inspiration.

5 4 TODAY, I started investing in me.

6 5 TODAY, I reached a little higher.

7 6 TODAY, I’m an example…for her.

8 7 TODAY, I began to paint a new picture of my future.

9 8 TODAY, I get to make the decisions.

10 9 TODAY, I feel confident about tomorrow.

11 10 TODAY, I’m building a plan that’s unique to me.

12 11 TODAY is a new day.

13 CAC.5068 (05.13) TAKE CHARGE OF YOUR FINANCIAL FUTURE A Woman’s Guide to Investing for Retirement

14 13 Taxes and investment advice Protective Life Insurance Company, Protective Life and Annuity Insurance Company and Investment Distributors, Inc. are not registered as investment advisors and this brochure is not intended to provide investment advice. Following this presentation, contact your Financial Advisor for investment advice specific to your situation. This presentation contains statements regarding the tax treatment of certain financial assets and transactions. You should consult your legal or tax adviser regarding your individual situations before making any tax-related decisions. The tax information within this presentation represents only our current understanding of the law in general and are not to be relied upon by Purchasers. The tax treatment of life insurance, Individual Retirement Accounts (IRAs), Income, estate, gift, and generation skipping tax rules are subject to change at any time. Neither Protective Life nor its representatives offer legal or tax advice.

15 14 Agenda Why take charge of your financial future now? Setting your financial goals How will you get there? Building your portfolio How do you get started?

16 15 Why take charge of your financial future now? What does the future hold? Uncertainty. –Economy –Pensions –Medicare –Social Security

17 16 Why take charge of your financial future now? Other concerns for women: –Lower earnings –Longevity –Widowhood

18 17 TODAY, I set goals that I know I can reach.

19 18 What do you want to achieve?

20 19 Setting your financial goals Keep a picture of your goal in mind to help you focus on reaching it. Quantify your goal to make it easier to plan. Create your plan to begin investing for retirement.

21 20 How will you get there? “Finding” money Asset growth

22 21 THE LATTE FACTOR: Sacrifice small, daily purchases to “find” money to invest.

23 22 How will you get there? The Latte Factor $6 day 7 days a week 52 weeks a year= $2,184 a year SavedInvestedInterestFinal balance $2184/year$2,184/year for 20 years $43,776 TOTAL 5% $74,972

24 23 How will you get there? How long will it take me to double my money? Use the Rule of 72. 72 ÷ interest rate = number of years

25 24 How will you get there? Compounding –Time is money –The sooner you start to invest, the less you will need to invest in total.

26 25 How will you get there? Investments at ages 22 – 42 (20 years) Investments at ages 43-67 (25 years) Interest Final balance Jennifer $2,000/year for 20 years $40,000 total $07% $476,150 Ann$0 $2,000/year for 25 years $50,000 TOTAL 7% $135,352 Compounding Two different approaches: Jennifer and Ann

27 26 TODAY, I figured out the tools that could get me from here to there.

28 27 Building your portfolio Tax-deferred savings: more money to you Investment vehicles: –401(k) and 403(b) plans –IRAs –Annuities –Life insurance –Stocks, bonds, mutual funds

29 28 Building My Portfolio Take advantage of your workplace savings plan: –401(k)/403(b) –Tax-deferred contributions –Employer match

30 29 Building your portfolio 401(k) and 403(b) plans Who Tax advantages ContributionsWithdrawals 401(k) Company- sponsored Before tax dollars Up to $17,500 (an addt’l $5,500 if over 50) Taxable 403(b) Nonprofit, education- sponsored Before tax dollars Up to $17,500 (an addt’l $5,500 if over 50) Taxable

31 30 Building your portfolio IRA Basics Who can participate? Tax advantages Contribution limits Withdrawals Traditional IRA Anyone under age 70½ Before tax dollars Up to $5,500 (up to $6,500 if over 50) Taxable Required after 70½ Roth IRAAnyone After-tax dollars Up to $5,500 (up to $6,500 if over 50) Tax-free No required age

32 31 Building My Portfolio Stocks, bonds and mutual funds: Accumulation with varying levels of risk –Bonds: fixed-income security, low risk –Stocks: higher potential for returns, higher risk –Mutual funds: invest in stocks, bonds, and other assets; professionally managed

33 32 Building your portfolio Another investment option: Annuities –Contract with an insurance company –Regular payments –Protect a portion of your retirement from volatility risk –Offer opportunities for tax-deferred growth –Draw from your retirement income –Provide payments for life

34 33 Building your portfolio A nontraditional investment choice: Life Insurance –Build cash value –Long-term investment –Tax advantages –Dual protection

35 34 TODAY, I thought about my retirement, with confidence.

36 35 Where do you start? Review your notes and booklet. Establish your goals. Determine how you will start building your money to invest. What is your “latte factor”? Meet with your advisor to help you determine your next steps.

37 36 Where do you start? When meeting with your advisor, bring along: Your goals Important documents Recent statements

38 37 Important Information Protective and Protective Life refer to Protective Life Insurance Company (PLICO) and its affiliates, including Protective Life & Annuity Insurance Company (PLAICO). Insurance products issued by PLICO in all states, except New York, and in New York by PLAICO. Securities offered by Investment Distributors, Inc. (IDI). IDI is the principal underwriter for registered products issued by PLICO and PLAICO. All three companies are located in Birmingham, AL. Product availability and features may vary by state. Each company is solely responsible for the financial obligations accruing under the policies it issues. Variable annuities are long-term investments intended for retirement planning and involve market risk and the possible loss of principal. Investments in variable annuities are subject to fees and charges from the insurance company and the investment managers. Investors should carefully consider the investment objectives, risks, charges and expenses of a variable annuity before investing. This information is contained in the prospectus for a variable annuity and its underlying investment options. Prospectuses may be obtained by calling Protective Life at 800.456.6330.

39 38 Questions and Answers

Download ppt " CAC.5068 (05.13) TAKE CHARGE OF YOUR FINANCIAL FUTURE A Woman’s Guide to Investing for Retirement"

Similar presentations

Ads by Google