Wednesday, September 5, 2012


Apart from money that is earmarked for bequests or the odd big ticket purchase, a sound strategy is to annuitize all of one’s wealth at about age 75. To understand why, let’s look at the minimum payout at age 75 under a RRIF. If the RRIF held $100,000 in assets at age 75, the minimum amount that would have to be withdrawn that year is $7,850. Many retirees are upset about this because they feel the minimum withdrawal rules force them to deplete their assets too quickly, especially in the current low-interest rate environment.
By contrast, an annuity that is purchased at age 75 with a single premium of $100,000 would produce annual income of about $10,000, in spite of low interest rates. Not only is this about $2,200 more than the minimum RRIF income, the annuity is payable for life and thus removes any chance your money will run out too soon. More income and less worry is a hard combination to beat.

By Lawrence Ian Geller,
For Advisors Only
September 5, 2012


By Fred Vettese
Financial Post
September 5, 2012


Dan Zwicker
Posted September 5, 2012

At age 75 we have an absolute need for the certainty of our income for the next 20+- years.

We have no need for market volatility based upon fear or greed.

The annuity is among the most sophisticated financial instruments in North America.

Our mindset at 75 must move from ‘making a killing’ to guaranteeing an income – for the rest of our lives.

The actuarial brilliance of the annuity is that it does just that.

It guarantees that our income will show up in our bank account every month without fail for the rest of our life no matter what happens globally.

Next to good health and the love of familiy there is nothing more precious than the lifetime certainty of our income.

The 1% have that certainty!

The 99% can have it!

The financial services industry has a professional and moral obligation to make sure it happens.

Dan Zwicker.

Daniel H. Zwicker, Principal
B.Sc. (Hons.) P.Eng. CFP CLU CH.F.C. CFSB

Professional Engineers Ontario
Certified Financial Planner
Chartered Life Underwriter
Chartered Financial Consultant
Chartered Financial Services Broker

Bus: 416-726-2427

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