Retirement Income Planning

Income You Can Count On.Every Quarter. For Life.

The Model Q portfolio is designed for one thing: generating reliable, tax-efficient retirement income. 7% annual distributions, principal protection built in, and Roth conversion strategies to maximize what you keep.

The Retirement Income Challenge

Most retirees face three problems their advisor never solved

Sequence-of-Returns Risk

A market crash in your first years of retirement can permanently damage your portfolio. The traditional "4% rule" exists because of this risk — but it limits your income to a fraction of what your portfolio could generate. The Model Q eliminates this risk entirely through its dual-asset structure.

Tax Drag on Withdrawals

Traditional IRA and 401(k) withdrawals are taxed at ordinary income rates — potentially 32-37% in federal taxes alone. Without a Roth conversion strategy, retirees pay the highest tax rates on every dollar they withdraw. Strategic planning before and during retirement can dramatically reduce this burden.

RMD Tax Bombs

At age 73, Required Minimum Distributions force you to withdraw from traditional accounts whether you need the money or not. For retirees with large balances, RMDs can push you into higher brackets and trigger Medicare IRMAA surcharges — costing thousands more per year.

The Model Q® Dual-Asset Strategy

Two asset classes working together to deliver consistent income through any market

ETF Portfolio (50%)

Professionally managed by Christian Ramsey, AIF® at institutional level. Securities cleared through Charles Schwab. Income is sourced from this portfolio when markets are performing well.

  • Tactical allocation for systemic risk management
  • GIPS-compliant returns with conservative projections
  • Tax-loss harvesting to offset income when possible

Fixed Index Annuity (50%)

Principal protection with upside participation through A-rated carriers including Nationwide, Allianz, Fidelity, Athene, North American, and Penn Mutual. Income is sourced from this side when markets are down.

  • Principal protection — floor value never decreases
  • Eliminates sequence-of-returns risk
  • Contractual income guarantees from A-rated carriers

How the Alternating Income Strategy Works

1

Markets Up

Income is sourced from the ETF portfolio, which is growing. The annuity compounds untouched, building a stronger floor.

2

Markets Down

Income switches to the fixed index annuity, whose floor value cannot decline. The ETF portfolio recovers without forced withdrawals.

3

Result

You never withdraw from a declining portfolio. This eliminates sequence-of-returns risk and supports a 7% distribution rate.

Roth Conversion Strategy

Convert taxable retirement accounts into tax-free income streams

Most retirees have the majority of their savings in traditional (pre-tax) accounts. Every dollar withdrawn is taxed at ordinary income rates — potentially 32-37% federal, plus state taxes. Without planning, you will pay the highest rates on the money you saved the most tax on going in.

A Roth conversion strategy systematically moves assets from traditional to Roth accounts during optimal tax years. The conversion itself is taxable, but the assets then grow and distribute completely tax-free for the rest of your life. Roth accounts also have no Required Minimum Distributions, giving you complete control over when and how much you withdraw.

When combined with the Model Q portfolio and a 537 IST (for those selling assets), the result is a retirement income plan with multiple tax-efficient income streams that minimizes your lifetime tax burden.

Roth Conversion Benefits

Tax-Free Growth

Once converted, assets grow without any future tax liability — forever.

Tax-Free Distributions

Qualified Roth withdrawals are 100% tax-free — no income tax, no NIIT, no IRMAA impact.

No RMDs

Roth accounts are not subject to Required Minimum Distributions during the owner's lifetime.

Tax-Free Inheritance

Heirs inherit Roth assets tax-free (subject to 10-year distribution rule under SECURE Act).

IRMAA Avoidance

Roth distributions do not count as income for Medicare premium calculations, avoiding IRMAA surcharges.

Case Study: Retirement Income Transformation

How one couple designed $150,000/year in tax-efficient retirement income

The Situation

A couple, both age 61, planning to retire within 2 years. Combined retirement assets: $1.8M in traditional 401(k)/IRA accounts, $400,000 in taxable brokerage accounts, and a rental property valued at $600,000 (basis of $180,000) they wanted to sell. Social Security projected at $48,000/year combined at age 67.

Their goal: $150,000/year in retirement income with minimal tax exposure. Without planning, withdrawals from their traditional accounts would be taxed at 24-32%, the rental sale would trigger approximately $100,000 in capital gains taxes, and future RMDs would push them into even higher brackets.

Traditional IRA/401(k)$1,800,000
Taxable Brokerage$400,000
Rental Property Value$600,000
Income Target$150,000/yr

The Coordinated Strategy

Rental property: Sold through a 537 IST, deferring ~$100,000 in capital gains. Full $600,000 invested through Model Q, generating ~$42,000/year.

Roth conversions: $300,000/year converted over 6 years (age 61-67), timed for lower brackets before Social Security begins. Total $1.8M converted to Roth by age 67.

Income at age 67: $42,000 from IST + $48,000 Social Security + $60,000 Roth distributions (tax-free) = $150,000/year total, with the Roth distributions completely tax-free.

IST Quarterly Income~$42,000/yr
Social Security$48,000/yr
Roth Distributions (Tax-Free)$60,000/yr
Total Annual Income$150,000/yr

Why Choose the Model Q for Retirement Income

7% Annual Income

Consistent quarterly payments at a rate that nearly doubles the traditional 4% rule. Made possible by the dual-asset alternating withdrawal strategy.

Downside Protection

The fixed index annuity provides principal protection. Your floor value never decreases, regardless of market conditions. Income continues through any downturn.

Roth Conversion Coordination

Strategic Roth conversions create tax-free income streams that complement Model Q distributions and Social Security for maximum tax efficiency.

Estate Planning Benefits

IST promissory notes receive a step-up in basis at death. Roth accounts pass to heirs tax-free. Your legacy is maximized, not eroded by taxes.

Market Participation

The ETF portfolio provides full market upside. You are not locked into fixed returns — when markets perform well, your portfolio grows alongside them.

Full Liquidity

Access your funds within 3-7 business days. No surrender charges, no penalties. The Model Q is designed for income, not lock-up.

Frequently Asked Questions

Design Your Retirement Income Plan

Schedule a complimentary consultation to receive a personalized retirement income analysis, including Model Q projections, Roth conversion modeling, and Social Security optimization.

Retirement Income Planning — Model Q Portfolio | Kevin Brunner