The IRS Gives You a Tax Break if You Invest in a QLAC

NEW YORK, Oct. 13, 2015 /PRNewswire-iReach/ -- Golden Retirement LLC ("GR") introduced its QLAC Toolkit as part of its plan to reinvent retirement income planning and execution for retail investors. Offered through Go2Income.com, the company's income annuity platform, the Toolkit enables investors to evaluate, customize and purchase a qualified longevity annuity contract (or "QLAC"), a special type of Income Annuity granted favorable tax treatment by the IRS in 2014.

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The IRS now allows investors to use 25% of their IRA and 401(k) savings, up to $125,000, to purchase a QLAC and defer the corresponding Required Minimum Distributions ("RMDs"), as well as the taxes they would pay thereon, to as late as age 85.

"The RMD method for distributing savings is flawed, primarily because annual withdrawals are based more on market ups and downs than on an investor's needs. This kind of uncertainty makes it difficult to plan for retirement. Unfortunately, millions of investors are discovering this for themselves with the recent wave of market volatility," said Jerry Golden, GR's founder and CEO.

"QLAC is a game changer for the advancement of effective retirement income planning as it can reduce the impact of market volatility on a significant portion of an investor's savings," added Golden. "It is also a very tax-efficient way to create a future income stream to fund an investor's retirement, no matter how long the investor lives."

The QLAC Toolkit provides a three-step process to "Decide, Design and Find" a personalized solution. "Our Toolkit is unrivaled in the market, given its ability to quickly customize a QLAC according to an investor's needs," noted Golden. "With wide pricing variation among the limited set of current QLAC carriers, it's critically important to design your plan first before you find your annuity company."

These advantages were recognized by Kiplinger in a favorable mention in the just released October 2015 issue of Personal Finance magazine. This mention has prompted a significant increase in users of the QLAC Toolkit who, online and in just minutes, have developed personalized QLAC plans.

Here are some interesting statistics about these investors and their plans:

• Average current age is 65.
• Average income start age is 79.
• 15% of plans were elected as pure "longevity insurance" with no beneficiary protection.

"We are very pleased to receive this special recognition by Kiplinger, as it acknowledges our unique ability to support individual investors. QLACs deliver unequivocal income and tax benefits and, as more top-rated life insurance companies introduce these products, this market will surely grow to be a key segment of the overall annuity market. We look forward to playing a supportive role in this growth," said Golden. "QLAC is especially beneficial for mass affluent investors who typically have a large percentage of their savings in IRAs or defined contribution plans and who are concerned about running out of money in retirement."

About Mass Affluent Investors

It is estimated that over 34 million mass affluent investors between the ages of 35 and 70 are at risk of running out of savings during retirement, which would result in tremendous strain for themselves and their families and communities. These investors, with over $11 trillion in savings, need a more dependable strategy to transition these savings to sustainable lifetime income. Mass affluent investors are defined as having between $100,000 and $1,000,000 of liquid investable assets.

About Golden Retirement

New York City, NY-based Golden Retirement LLC is reinventing retirement income planning and execution to help mass affluent investors secure the income they need to get the retirement they want. The foundation of the company's strategy is the effective utilization of income annuities as the ideal financial vehicle for securing guaranteed lifetime income. The company is the developer of the Savings2Income retirement income planning method and targeted income programs geared to specific retirement savings sources.

Golden Retirement has partnered with Financial Marketing Group, Inc., which works with the top-rated annuity carriers in the Go2Income Annuity Shopping Service.

About Jerry Golden

Jerry Golden, Founder and CEO of Golden Retirement LLC, is widely acknowledged as a leading innovator in the financial services industry, with landmark designs of life insurance, annuity and IRA products. He is a sought-after speaker and industry panelist and has appeared on CNNfn, Fox News and Bloomberg Radio. Jerry Golden developed Golden Retirement's Savings2Income platform, of which Go2Income is a critical component, to enable mass affluent investors to effectively transition their savings to reliable lifetime income and mitigate the market and longevity risks that threaten their retirements. Golden's views on income annuities and retirement income planning can be found on his blog at Jerry Golden on Retirement.

Media Contact: Jerry Golden, Golden Retirement, 917-975-5116, [email protected]

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SOURCE Golden Retirement LLC