Category Archives: Annuities - Page 2

Financial Planning – Life Insurance

Posted by on May 15, 2011 No comments
man-with-stop-sign-03

A Different Look at Life Insurance, Trusts and Annuities

A lot of hasty decisions are made when a family member dies. Many of them are bad. There seems to be an army of vultures waiting to prey on the vulnerable. Life insurance forces people to deal with the idea that death may come and come in an untimely fashion, and most people don’t really like to think about that future.

The author of the article, Don McNay on the Huffington Post, says “My life insurance is owned by a trust. When I die, the trustee will buy annuities for the beneficiaries. The annuities will pay monthly for the rest of the beneficiaries lives and increase at 3% a year.”

This prevents scam artists and outside pressures from losing money that is delivered in a lump sum. He goes on to say “That is why the combination of life insurance, a trust and lifetime annuities works for me.”

Insurance Companies Entering the Market (Again)

Posted by on May 13, 2011 No comments

5/12/2011
New life insurance companies entering the structured settlement annuity market bring more choices and competition. This is good news for all who benefit from structured settlements as a tool to aid the resolution of lawsuits and attorneys who structure attorney fees.

The first one is Berkshire-Hathaway, they tend to be specialists in long durations and/or deferrals.
Next is USAA, familiar to people associated with the military. Another A++ company, in addition to Berkshire Hathaway.
United of Omaha, part of the Mutural of Omaha Group.
Hartford Life Insurance.

Structured Settlement Quotes

Posted by on May 13, 2011 4 comments

Structured Settlement quotes will be on your mind, once you have decided to sell a structured settlement.

The new video, as of 5/12/2011, discusses your options.

You may think, when offered a structured settlement, that you don’t want this, you just want your money.
But there are benefits to a settlement like this.

Just what is a structured settlement?
Well, it is a customizable stream of payments and can be of different types, such as, annuities or treasury bonds.

It is important to shop around and get information from a professional.

You don’t want to over structure. One of the greatest strengths, is that you are locked into it, but that is also it’s greatest weakness as well.

Getting a structured settlement means that if you get X amount of dollars every month, you can count on that and under present tax laws, it will be tax free.

You can only get structured settlement quotes from licensed insurance agents who are appointed by annuity issuers or by a vendor who sell US Treasury Trusts. Check for licenses.

Annuities: Answer To Lack Of Confidence in Social Security?

Posted by on May 12, 2011 No comments

Public losing confidence in Social Security

Annuities Could Be The Answer

May 11, 2011
By Seth Kravitz
AnnuityNews.com

Social Security may not be there when I retire! That is a feeling that many Americans may empathize with. This insecurity toward Social Security is good news for the annuity industry.

About 35% of Americans are “very” or “somewhat” confident in the future of Social Security. This figure is down from 40% five years previously and from almost half of those responding (46%) in 1985, according to the AARP.

But are annuities the answer? To read further, continue here….

Annuities for Retirement Income? They May Come Up Short

Posted by on May 7, 2011 2 comments

According to BRETT ARENDS in the Wall Street Journal, annuities may be a risky bet right now. Anyone buying an annuity will be locking in at today’s low interest rates, earning a low level of return. And it could leave you at risk if inflation picks up.

There are several issues to consider with buying an annuity at this point in time, such as that you lose control of your principal and you’re dependent on the financial strength of an insurance company. To read the entire article click here…

And to watch Steve Forbes interview with Ken Fisher who Hates Annuities, check out the video below.

Considering annuities? You might as well give the salesperson money to put their kid through school.
Load and no load investors. Multi-nationals from different countries, and more.

 

 

 

Deferred Fixed Annuities, CDs: Which is For You

Posted by on April 23, 2011 No comments

Which of those two, deferred fixed annuities or CDs, is for you, is discussed in the article by Michelle Ksidakis who is a financial services professional for New York Life.

Both of them, though categorized as low risk, differ in important ways.  Which would be right for you?  It depends on your goals and priorities according to Michelle.  In these uncertain financial times, it is important to find out the best places to place your money.  To read the entire article, CDs and Deferred Fixed Annuities: Which is Right for You?

Consider Variable Annuities to Boost Retirement Income

Posted by on April 22, 2011 2 comments

According to this article at My San Antonio, after you have fully funded your IRA and your 401(k), if you have funds left, you may want to invest in variable annuities, which offers these benefits:

    Tax deferred earnings.
    A variety of investment options.
    No contribution limits.
    Payout flexibility.
    Guaranteed death benefit.

Even with those obvious benefits, there are still considerations to discuss with your financial adviser before investing in variable annuities.

Read more: http://www.mysanantonio.com/default/article/Boosting-retirement-income-Consider-variable-1344068.php#ixzz1KGQtfDkZ

 

“If your advisor gets paid a commission for selling annuities, as she probably does, she’s not an objective source for you on this topic. Consider investing a few hundred dollars to consult a fee-only financial planner, who can review your financial situation and your investments and offer advice.”

By Liz Weston
Money Talk
June 26, 2011 
Los Angeles Times

Structured Settlements and Annuities

Posted by on April 18, 2011 No comments

Annuities and structured settlements do share a core similarity: they both can be used to convert a lump sum of money into a series of periodic payments that are disbursed over time.  It is not correct, however, to assume that annuities and structured settlements are one and the same.   To read the original article by Thomas Cochrane, CFA,  click here…

Saving Money By Avoiding Hidden Tax Triggers

Posted by on April 15, 2011 No comments

Are you paying taxes now on future income?

The first hidden tax risk, turnover, afflicts investments like mutual funds. Turnover can trigger capital gains, which investors must pay taxes on. For more on hidden tax risks, continue reading here…

Saving money on taxes is as good as making it in the first place.

TSP (Thrift Savings Plan) Annuities and Withdrawals

Posted by on April 15, 2011 1 comment

If you have a civilian or a uniformed services TSP account, this information on a FederalTimes.com blog (A Gannet Company) is for you. Many people are interested in a lump sum withdrawal, especially in these rough financial times.

Here was the question: Q: My wife retired in February. Our current plan is to take $50,000 from her Thrift Savings Plan to pay off some high-interest debt and leave the rest in the TSP to be invested into a monthly annuity. Is this allowed? Does she have options as to what annuity the money is invested in? Is their an option for a lump-sum survivor payment of the unpaid balance at the time of death? How does she proceed with implementing her final decision?

Read the answer here…

For more information on the Thrift Savings Plan, check this webcast out:

Kevin Leier from the Federal Thrift Investment Board discusses the TSP, FERS and CSRS. He discusses managing your account, investment options and withdrawals.