I needed help
With her retirement threatened, Ina Brennan reached out and Dan Pico answered
When her retirement investments took a hit after the market crash, Ina faced a frightening scenario: a savings shortfall that threatened to derail her retirement.
“I had always been very cautious about money,” says Ina. “When IRAs were first introduced, I set one up for myself. I saved steadily year after year.”
An executive assistant for most of her career, Ina was single and made her financial decisions based on her own research and advice from friends. She lived life on her own terms: learning to scuba dive; traveling to France, Italy, and Egypt; and having lots of hobbies, such as maintaining community gardens and taking in all of the arts that her hometown, New York City, had to offer. She didn’t want life in retirement to be any different.
“By the time I retired, I had saved a nice nest egg and was ready to travel and make the most of it,” she says. But an illness set her back, and by the time she was healthy and ready to do more, the crash had eaten away a significant portion of her hardearned savings. Bills began to mount.
“I don’t think I was facing reality. I suddenly realized the seriousness of my financial situation. I needed help and advice. I was scared,” she said.
Ina’s accountant saw that she had a cash flow problem—she was dipping into her IRAs faster than she had anticipated. He suggested that she get in touch with New York Life Agent Dan Pico of the Riverview General Office in Brooklyn to find some solutions to her problems.
Dan reviewed her accounts and realized that not only were her savings diminished, but also her investments were far too aggressive for someone living in retirement.
“Ina’s investments were more appropriate for someone younger, with more time to weather market downturns. More than half of her portfolio was in growth funds and higher risk investments,” he said. “She needed more income.”
Dan worked with Ina to help identify expense savings, and he eventually suggested she purchase a New York Life Guaranteed Lifetime Income Annuity, which would provide her with a secure monthly income for life. The amount, plus Social Security, was enough to cover her monthly expenses.
“The hemorrhage to her savings needed to stop,” said Dan.
Although Ina saw the advantages to Dan’s suggestions, she was still nervous about taking a portion out of her nest egg to buy the annuity.
“That money was my cushion. The thought of locking it into an annuity was unsettling. It’s difficult when you’re on your own. You don’t have anyone to fall back on for help. But the idea of having steady income coming in gave me peace of mind and made budgeting easier,” says Ina.
Dan understood her initial fears. “It was emotional for Ina to think about breaking into that nest egg. But the reality was that she was chipping away at it each time she went over her budget, or when the market did not perform. She realized that the annuity would turn her savings into income she could count on,” he said.
Today, Dan is continuing to help Ina reduce the risk in her portfolio and make sure she has what she needs to live the life she’s created—the life she loves—on her own terms.
Guaranteed Lifetime Income products are issued by New York Life Insurance and Annuity Corporation, a wholly owned subsidiary of New York Life Insurance Company. Guarantees are backed by the claims-paying ability of the issuer. See contract for complete terms and conditions.