Solving the Retirement Conundrum
Ensuring a sustainable income that lasts throughout your lifetime is the ultimate goal of retirement planning.
Navigating Retirement Risks
The risk of living longer than your capital lasts.
Withdrawing funds during a market downturn, damaging overall returns.
The danger of your purchasing power failing to keep up with rising costs.
The impact of negative market performance on your savings.
Choosing Your Income Strategy
Because there is no one-size-fits-all solution, many retirees find success by combining these two distinct options:
| Feature | Living Annuity | Life Annuity |
|---|---|---|
| Income | Flexible % drawdown | Guaranteed for life |
| Market Exposure | Impacted by volatility | Protected from volatility |
| Legacy | Leaves capital to heirs | Generally no capital legacy |
Pro-Tip: A hybrid approach can provide a “floor” of guaranteed income while maintaining the flexibility to grow your capital.
5 Tips for Retiring with Confidence
- ✅ It’s Never Too Late: Starting a plan today is better than waiting until tomorrow.
- ✅ Appoint a Professional: Don’t navigate complex tax and legal frameworks alone.
- ✅ Diversify Your Solutions: Don’t put all your eggs in one basket; blend products for resilience.
- ✅ Vet Your Provider: The track record and brand behind your solution matter.
- ✅ Drown Out the Noise: Ignore the media hype and rely on research-backed advice tailored to your life.
Ready to build a sustainable retirement plan?
By Linda Blom
Business Development Manager at Glacier by Sanlam
Glacier Financial Solutions (Pty) Ltd and Sanlam Life Insurance Ltd are licensed financial services providers.
