Episode 014: How to determine if you even need an annuity

The Annuity Man

In this podcast by The Annuity Man, you will learn how to determine if you need an annuity, and if so...what type best contractually fits for your specific situation.

Annuities were first introduced in the Roman times as lifetime income payments for the dutiful Roman soldiers and their families.  The Latin word "annua" means payment, and is the origin of the word annuity.  That original Roman annuity structure is predictably similar to today's Single Premium Immediate Annuity (SPIA).

Annuities primarily solve for 4 contractual goals.  The acronym I have created to describe these 4 things is P.I.L.L.  P stands for principal protection.  I stands for income for life.  L stands for legacy.  And the other L stands for long term care/confinement care.  If you do not need to contractually solve for 1 or more of those 4 items in the P.I.L.L., you do not need an annuity.  It's really that simple.

I also use 2 questions to determine if an annuity is suitable and appropriate.  1) What do you wan the money to CONTRACTUALLY do?  2) When do you want those CONTRACTUAL guarantees to start?  From those 2 answers, it's easy to determine if you actually need an annuity...and if so, what type would provide the highest contractual guarantee for your specific situation. 

If you use the P.I.L.L. and the 2 questions, that's a good start in the annuity buying and evaluation process.

In this episode, The Annuity Man discusses:

  • The fallacy of the one-size fits all annuity pitch
  • The two pillar questions to ask yourself
  • Take the annuity P.I.L.L. before buying
  • There’s no “G” for market growth

Key Takeaways:

  • Base your decision only on the contractual guarantees
  • Annuities are transfer risk contracts, not investments
  • Always shop for highest contractual guarantee
  • Make your decision on your terms and your time frame 

Fun with Annuities Podcast is hosted by America’s Annuity Agent, Stan Haithcock, The Annuity Man. Hear brutal annuity facts with no sales pitches from the top independent agent in the country, licensed in all 50 states. Author of 7 books, Stan dives deep on all annuity types and strategies. It’s fun, learning the contractual truths on how annuities actually work and if they’ll fit your personal retirement lifestyle. Listen in on how you can be livin’ the reality, not the dream.

Listen on Stitcher, Apple Podcasts, and Spotify. Get the best and highest confinement care and enhanced benefit quotes using Stan's proprietary annuity calculators. You can also receive all 6 of The Annuity Man Owner's Manuals for free and under no obligation and see a live feed of the best fixed rates for your specific state of residence.

Comments

Annuity Man Podcasts

FEATURED
COMMUNITY