Create your own personal pension? It's not as crazy as it sounds

ROANOKE, Va. - March 27, 2019 - PRLog -- Pensions, or defined benefit plans, came first with guaranteed income for life. Then came 401(k)s with their focus on growth from the stock and bond markets. The two were meant to work together, but with defined benefit pensions disappearing, many people are now left with only a 401(k) plan. While 401(k)s are an important component of retirement savings, they were never intended to be a standalone retirement solution.

The 401(k) was meant to provide supplemental retirement savings in conjunction with pensions, savings and other income vehicles to provide a fuller retirement picture. Additional resources can be used to support your 401(k) and pension payments in order to build out a robust retirement strategy.

How can near-retirees replace an old defined benefit plan that offered guaranteed income? What if you are one of the many people who are receiving a lump-sum from a retirement plan or have a windfall event where you receive a sum of money?

One option could be to invest in a deferred income annuity. A deferred income annuity (DIA) allows you to set up a guaranteed income stream beginning later in life. Remember that the guaranteed income is based on the strength and claims paying ability of the financial institution. DIA's are traditionally funded with a lump sum payment and the contract promises to pay you a lifetime income stream starting at the date of your choice.

For example, let's say a DIA is purchased with a $50,000 lump sum. That money will then be held by your financial institution for a defined period. After a specified amount of time has passed, you can start receiving payments. This guaranteed stream of income can be used to supplement existing retirement savings.

Many options are available when it comes to retirement strategies. With traditional pensions disappearing from the financial landscape, there are plenty of options available that let you design personal solutions for your own retirement. The key lies in understanding your options and working with a financial professional who can help guide you toward a secure retirement.

This column was prepared by Thrivent Financial for your local representatives' use.

Thrivent Financial is represented in the Southwestern and Central Virginia area by the Blue Ridge Group – Thrivent Financial, which includes Charles H. Leiser at 1340 Maple Avenue SW, Roanoke, (540)491-9993 ext. 1 and Max Holland at 248 Stevens Road, Troutville, (540)491-9993 ext. 3.  Individuals interested in contacting a local Thrivent Financial representative can find more information at www.thrivent.com.

Thrivent Financial is looking for talented individuals to join the organization. Those interested in a career with Thrivent Financial can visit www.thrivent.com/careers.

No surrenders or withdrawals are available from this contract in the deferral period.

There is no cash surrender value or accumulated value in this deferred income annuity.

THRIVENT FINANCIAL IS THE MARKETING NAME FOR THRIVENT FINANCIAL FOR LUTHERANS. Insurance products issued or offered by Thrivent Financial for Lutherans, Appleton, WI. Not all products are available in all states. Thrivent Financial representatives are licensed insurance agents/producers of Thrivent. For additional important information, visit Thrivent.com/disclosures. Guarantees are backed by the financial strength and claims paying ability of Thrivent Financial for Lutherans.

About Thrivent Financial

Thrivent is a not-for-profit membership organization that helps Christians be wise with money and live generously. It offers its more than 2 million member-owners a broad range of products, services and guidance nationwide. For more than a century it has helped members make wise money choices that reflect their values while providing them opportunities to demonstrate their generosity where they live, work and worship. For more information, visit Thrivent.com (http://www.thrivent.com/). You can also find us on Facebook (https://www.facebook.com/thrivent/) and Twitter (https://twitter.com/thrivent/).

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