The primary concern of Baby Boomers is that they will run out of money in retirement. Many traditional financial advisors recommend a mix of stocks and bonds, usually about 50-60% stocks and 40-50% bonds. This may work, but is absolutely not guaranteed. Stocks rarely have dividend rates above 2-3%, and do not generate capital gains each and every year. Bonds pay the rate of interest stated, but do not have the ability to keep pace with inflation.

A progressive financial services firm has developed a strategy that can guarantee an income of 6% for life, with a 1.5% inflation factor. This is accomplished with a series of proprietary financial products placed into "buckets".

Bucket number one is the simplest. We set aside one years income in cash. This is intended to give the other products time to work. Bucket #2 contains a fixed annuity paying a guaranteed rate of return for one year, and then being annualized for five years after that. Bucket number 3 has a 6 year guaranteed annuity currently growing at 4.1%. The final bucket, number 4 contains a 10% bonus, ten year index annuity with an optional rider that features an income base that grows at 8.2% compounded annually.

Despite a barrage of negative press, the only vehicles available capable of providing a guaranteed lifetime income is an annuity. At the very least, anyone seeking a guaranteed lifetime income should consider using an annuity for at least a part of their overall plan.