For years I’ve had the anti annuity mindset. Perhaps I need to add a fixed index annuity to my retirement plan. I’m especially interested in an annuity free of taxes.
I did the free download, but I think I own the book. This is worth a second listen! Thank you Mr. Martinsen. I have a huge anti-annuity bent, but I will try to keep an open mind, I have been wrong before.
Has a single male no children , mortgage free single family home, seriously considering converting much of my 401k income annuity at retirement i don't want market volatility in retirement, alway have home equity for backup for emergencies. (Annuity Social security. State pension) think I'll be good to go. Depth free....
Thanks Lane for this insight on annuities. I'm currently researching this as an option. Like Dave Buchannan I've always had a negative view of annuities, but I'm starting to take a serious look at this option.
@@FinancialFastLane Thank you for your reply. Cash also makes available funds for operating expenses so that depreciated assets don't have to be sold and cash also provides a means to purchase equities that have a negative premium to NAV. Growth equities should be a part of every retirement plan, preferably in a Roth. One size does not fit all! Interesting discussion. Thanks.
I like cash for emergencies. As the dollar devalues one should also look for some of your allocation to cryptocurrency. Etherium for maximum short term gains and Bitcoin for longer term security.
I suggest that you create a video on Preferred stock or Senior preferred stock income funds. Market share risk but with monthly dividend. Distributions without principle degradation.
I have a life annuity when I was vested with a company that I worked for years ago. At the age of 65 they will start distributing a set monthly payment. Is it to my advantage to get a lump sum or continue with the set monthly payment
That's a great question about your life annuity! Both options have their merits depending on your financial goals and current needs. Have you considered how each choice aligns with your retirement plans and financial security for the future?
My Pension has an almost 10% payout! It is $1750 but it frozen, not adjusted COLA. I Like Security of monthly payments but hear so much Hate about annuities?
He didn't say there was no risk, he said annuities come with guarantees and no [stock] market risk. The risk, which I agree he should have explicitly mentioned, is that the annuity company goes out of business. That's why if one is going to have an annuity, it should only be part of the overall retirement plan, not the entire plan, and only the highest rated companies should be considered. I believe annuities could be a part of some people's retirement plan, depending on other factors, but they shouldn't provide more than 25% of one's income.
@Steve Carter Indeed, the title of the video is "pro and cons", the video show many pro but not any cons. For example, what are the fees of such annuity? When something is presented like that, I cannot help but be very suspicious.
@@jeanjasinczuk7543 I'm with you on that. The author of the video is not a CFP, but he is licensed to sell insurance products. I would rather use a fee only CFP (a fiduciary) that gives advice and makes recommendations, not a "financial advisor" who earns commissions on insurance sales and securities' trades. Always consider how the person is paid and be sure their personal financial interests align with yours.
It's true, market downturns can be challenging for retirees relying on investments. Have you explored annuities as a way to provide more stability in your retirement income strategy?
Fees on annuities vary just like fees on mutual funds (Active vs Passive funds anyone?). Lower cost annuities include MYGAs and SPIAs, and Fee based annuities (no commissions). Variable annuities have the highest fees and are complicated. For instance, MYGAs are an alternative to CDs. Sometimes they have better rates (net fees), sometimes they don't. Shop around before deciding.
They have high fees but if you have a relative who passed away and had a huge annuity, it might make sense to roll it into an annuity yourself to avoid taxes. That's the upside of the annuity, they are tax-deferred.
