For people aged 65-70 and over, it is important to ensure they receive a guaranteed and specific monthly income to enjoy their retirement and not worry about our investments and especially a possible fluctuation in the markets.
The last thing with which we want to deal when we retire is financial stress and an overly active management of our investments.
There is a sure way to receive a guaranteed monthly pension for life and that is through a life annuity from an insurer.
A life annuity generates a guaranteed monthly income for life regardless of the financial market or the economy.
The belief is to pay a capital to an insurer who will pay you a monthly income for life. This monthly income is based on your age, gender, and paid-up capital. Everyone is eligible regardless of their health.
Whether it is with your RRSPs, RRIFs or your non-registered investments, an insurer will carry out its actuarial calculation and pay you this annuity. Whether you live 1 year or 50 years, the annuity is guaranteed for life.
Thus, it is worth considering this option.