Case Study: Jack, Early Retirement & Legacy Planning
- JKL Wealth - John Lohrenz
- Aug 5
- 3 min read
Qualcomm Executive Retires at 51 With $300K Guaranteed Annual Income and a $5M+ Legacy Plan
Client Overview
Name: Jack (Qualcomm Executive)
Status: Married, one child
Started Planning: 2005 (late 30s)
Retired Age: 51
Goals:
Financial independence by early 50s
Secure, lifelong income for both spouses
Leave a $5M+ legacy to their son
Financial Planning Strategy
Diversify from Concentrated QCOM Stock Holdings
Valued at $7.5M
Used a 10b5-1 plan to systematically sell shares
Paid off mortgage and eliminated debt
Secure Future Income with Annuity
Invested $2M in deferred annuity
Starts at age 70
Pays $300K/year guaranteed for life (joint for Jack and spouse)
Bridge Retirement Gap (Age 51–70)
$6M conservatively invested in a diversified portfolio
Produces $250K/year in income
Covers lifestyle: country club, travel, hobbies
Modest growth while preserving capital
Income Timeline
Age | Income Source | Annual Income |
51–70 | Investment Portfolio | ~$250K |
70+ | Annuity + Social Security | ~$650K total/year |
Portfolio untouched, preserved for legacy |
Lifestyle & Legacy
No debt, house paid off
Comfortable lifestyle funded without touching core assets
Projected inheritance for son: $5M+
Focus shifts to:
Health & wellness
Time with family & friends
Golf, travel, fishing
Purposeful living
Case Studies QCOM Executive Retired at 51 Summary
Liquidate Concentrated Taxable Stock to Diversify $300,000 lifetime inflation adjusted income for both he and his wife Legacy planning for son to have nice inheritance of $5,000,000+ Retired at 51, Jack is a client who had a long and successful career at Qualcomm. He is married with one son.
We started working together in 2005 and Jack was in his late 30s. His son was very young, and he and his wife were accumulating a nice nest egg. It became clear that because of his compensation in stock and accelerated appreciation if we planned appropriately, we would be able to help him retire with financial independence and security at an early age.
Planning for secure income that would last 40+ years we had a strategy to bridge his income to age 70 where we would have multiple lifetime income streams start paying he and his wife. Jack’s QCOM stock valuation was approximately $7.5 million and we wanted to diversify, pay off the house, secure lifetime income jointly, and leave a legacy for his son.
We initiated a 10b-51 selling plan for several years and liquidated the company stock. We invested $2,000,000 deferred annuity for age 70 that would guarantee both he and his wife approximately $300,000 year income for life guaranteed. This provided the predictable secure income they could not outlive. The remainder of the assets have been invested in a portfolio providing the income for his lifestyle from age 53 to age 70 when the guaranteed income starts. $6,000,000 is conservatively invested in a combination of securities that have a yield of $250,000 a year and some growth.
With the house paid for and no debt this income easily covers all expenses including the country club, travel, and lifestyle. The value of the portfolio is growing slightly with income as the primary goal until he turns 70. When Social Security will then be claimed and the annuity income starts it will be approximately $350,000 annual income without touching the portfolio.
There will be $650,000 in income cash flow at age 70 to spend as much or as little as Jack and his wife would like and re-invest or re-allocate the remainder. Family history is of living into the 90s and that gives a 20 year window of a large surplus to live without money being an issue. Staying healthy, living with purpose, enjoying family and friends, improving golf game, catching bigger fish are the life issues to focus on at this point in the game!
JLK Wealth Management, founded by John Lohrenz, specializes in crafting personalized retirement plans to fulfill your goals and aspirations. Let us start working together to ensure you can retire comfortably without the worry of running out of money, support your children to meet the world head-on as adults, take care of aging parents any way you need to, and leave a legacy that has meaning and lasts for generations.
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