In this, the third and final article in this series on annuities, I am going to look at variable annuities. Although sales of fixed index annuities have recently outpaced variable annuities, they remain very popular among new annuity purchasers. Also, since you may be pitched one by your friendly insurance rep or financial advisor, I … Read more
In my last article, I looked at immediate fixed-income annuities and discussed whether I might want to include them as a part of my overall retirement income plan. Guaranteed payments for life are their strong suit (helps mitigate “longevity risk”). But, as I noted, one of my major concerns about immediate fixed-income annuities is that … Read more
I recently helped a friend evaluate an annuity product that he was considering for part of his retirement savings. Like many of us, he wanted to protect some of his assets from gut-wrenching stock market volatility. He also wanted to ensure that he will have sufficient income when he decides to retire in a few … Read more
Owning a house is a great thing. Mostly because we all need a place to live, and if you are fortunate enough to own your own home, you are truly blessed. Actually, among the developed countries in the world, a relatively large percentage of people do own their homes. The most recent statistics for the … Read more
I recently was asked an interesting question by a church friend concerning his elderly mother. Like many of us, he is a ‘boomer’ and has an 85-year-old mother who currently lives in an assisted-care facility. Her expenses are being paid for by Social Security, a military survivors pension, and long-term care (LTC) policy. Her living … Read more
In my last article on annuities, I discussed the different types of annuities and their use inside retirement accounts. As you could probably tell, I’m not a huge fan of variable or indexed annuities, especially when used for retirement saving and investing inside an IRA. My biggest concerns have to do with their complexity and high costs relative … Read more
As a financial coach, I often work with folks who are in the accumulation/growth phase of planning for retirement (i.e., 5 to 10 years or more away). Sometimes I come across someone who has either: 1) received a recommendation from their stock broker or insurance salesperson to purchase a fixed-rate, indexed, or variable annuity product … Read more
