Georgia Retirement Income: Why Guarantees Beat Market Risk
Georgia Retirement Income: Why Guarantees Beat Market Risk
Retirement in Georgia offers warm weather, a lower cost of living than many coastal states, and beautiful scenery from the Blue Ridge Mountains to the Golden Isles. But even in the Peach State, one risk remains the same for retirees nationwide: **running out of money**.
That’s why it’s crucial to structure your retirement income wisely. A recent **McKinsey report** recommends that **only 30% of retirement income should come from the stock market**, while **70% should come from guaranteed sources** like **annuities and life insurance**. This ratio becomes even more attractive in today’s **high-interest rate environment**, which has made annuities more competitive than ever.
Market Risk vs. Lifetime Guarantees
Historically, retirees have relied heavily on the stock market to fund their retirement. While the long-term average annual return may hover around **7.2%**, the **actual compounded growth rate** is closer to **5.77%**, with a **standard deviation of around 0.3%**.
That volatility can lead to **sequence of return risk**—where losses early in retirement can severely damage your long-term income. In contrast, **guaranteed income products like annuities and properly structured life insurance** can provide **predictable cash flow**, no matter what the market does.
For many Georgia retirees, especially those near or in retirement, shifting more income to **guaranteed sources** is the key to peace of mind.
Why Annuities Make Sense in Georgia
Annuities are no longer just for the ultra-conservative investor. Today’s higher interest rates mean that **fixed and fixed-index annuities** can offer attractive **guaranteed lifetime income**—with **no stock market exposure**.
### Benefits of annuities for Georgia retirees:
* **Guaranteed income for life**
* **No market downturn risk**
* **Custom payout options**
* **Potential to grow income with inflation**
Whether you’re retiring in Atlanta, Savannah, Augusta, or the North Georgia mountains, annuities can give you a **secure income floor** to cover your monthly needs.
Life Insurance as an Income Strategy
Many people think of life insurance only as a death benefit—but **permanent life insurance** can be a **powerful income planning tool**. With **tax-deferred growth** and **tax-free access** via policy loans, it can provide **stable income** in retirement while protecting your loved ones.
In Georgia, where estate planning and tax considerations are top of mind for many retirees, **life insurance also helps reduce taxable estate values** while giving your heirs a legacy.
The Ideal Mix for Georgia Retirement Income
McKinsey’s model gives retirees a **simple framework**:
* **30% of income from the market** for long-term growth
* **70% from annuities and life insurance** for guaranteed stability
This balance offers both **security and flexibility**, especially in a state like Georgia, where costs are manageable but still rising due to inflation, housing, and healthcare expenses.
Why Choose Mintco Financial in Georgia?
At **Mintco Financial**, we work with Georgia retirees to build **custom income plans** that protect against market risk and provide peace of mind. We are fiduciaries, which means our advice is always based on what’s best for you—not commissions or product sales.
From Macon to Marietta, Alpharetta to Athens—we serve clients virtually to design **guaranteed retirement income strategies** that work for the long run.