[00:00:00] Speaker A: Any examples used are for illustrative purposes only and do not take into account your particular investment objectives, financial situation or needs and may not be suitable for all investors. It is not intended to predict the performance of any specific investment and is not a solicitation or recommendation of any investment strategy.
[00:00:18] Speaker B: You're tuned in to the Retirement Planning Pipeline, the show that helps you take control of your financial future. Whether you're five years from retirement or just getting started, we've got the strategies, tools and experience to help make the most of your nest egg. Retirement planning specialists David Pipes and Steve Zarek are two trusted voices in retirement planning with over 30 years of combined experience helping hard working Americans navigate 401k rollovers, income planning, tax strategies, and everything in between.
[00:00:49] Speaker C: Thanks for joining us. I am David Pipes and if you're wondering how to get yourself on the right track for retirement or how to turn your savings into steady income, you're in the right place.
[00:00:58] Speaker D: And I'm Steve Zarek. Each week we break down the complex world of retirement in plain English, no jargon, just smart strategies to help you retire with confidence.
[00:01:07] Speaker B: Now let's dive into today's show and start paving the way to your smooth retirement. Here are your hosts, David Pipes and Steve Zarek.
[00:01:17] Speaker E: Hi everybody. Welcome inside to another edition of the Retirement Planning Pipeline, the show that delivers expert insights, actionable advice and real world strategies to help you retire confidently and of course, comfortably as well. This is the radio show and podcast that breaks down key topics like investment planning, tax strategies, Social Security optimization, estate planning and more. All of that clear focus of helping you build a secure retirement. Thank you for making our show a part of your weekend. I'm Jim Tarabokia, of course, alongside my guys, my friends, retirement planning specialists David Pipes and Steve Zerk. Good to be back with you guys here. Episode 8 For those of you who listen on the podcast side, thank you very much. Be sure subscribe to our show in podcast form. We would greatly appreciate that. All about annuities, Understanding, growing and replacing them. We're dedicating the whole show today just on annuities, what they are, how they grow, how they pay your income, and whether or not it might be time to replace those old ones with some new ones. And you know, I just was talking to the guys before the show and you guys mentioned to me that in the state of Florida alone there are 3,000 annuities. So this is kind of a complex topic. Complex subject. And guys, we're going to be breaking it all down here today.
All right, before we get things started. I want to encourage our listeners to go ahead and schedule your 100% complimentary consultation with retirement planning specialist David Pipes and Steve Zarick Day. It's a free offering just for listening to this show. Our listeners can meet with us to review their own financial situation for your family or your business. And there's absolutely no obligation. So visit retirement planningpipeline.com Again, that website, retirement planningpipeline.com all right, guys, I want to ask you a quick question here, and it's interesting because I looked this up yesterday prior to our show here. I want to know, I've got a list of people and I want you to tell me either one of you what these people have in common. Okay, here we go. Four names. I'll give you four names. Babe Ruth, Albert Einstein, Ben Franklin, Shaquille o'. Neal. That would be a heck of a road trip, by the way. Cross country road.
So what do those guys again?
Babe Ruth, Albert Einstein, Ben Franklin, Shaquille o'. Neal. One guy was a baseball player, one guy was a genius, another guy got electrocuted, and another guy is a funny analyst for the NBA. But as a hall of Famer, I.
[00:04:02] Speaker C: Love the fact that one of them's a genius. First of all, Jim, that's, that's awesome. But I know this answer because I know for a definite fact that two of them definitely have annuities. So they probably all have annuities. Jim, is that correct?
[00:04:13] Speaker E: They all have annuities. Now, I think they have different annuities, but they all do indeed have annuities. Very good. And that's again our topic today. So let's dive in with the basics. A lot of folks hear annuity and either don't fully understand what that is or they think it's a bad word. So let's start, guys, with a plain definition. An annuity is a financial product issued by an insurance company that allows you to accumulate funds, tax deferred, and then convert them into a stream of income either for a fixed number of years or, or for the rest of your life. And there are different types of annuities, right? So we're talking about fixed, we're talking about variable indexed annuities. A lot of different types. As we mentioned, over 3,000 just in the state of Florida alone. So, guys, deciphering through all these annuities, let's break down what we just mentioned there. With the types of annuities that are available to people.
[00:05:07] Speaker C: Yeah, yeah.
You know, bringing, bringing the, the types up, especially last night, I actually did A seminar over at a really good restaurant in our area in Pensacola at Pearl and Horn. And I'm sure pretty much everyone has heard of Pearl and Horn, you know, one of the top restaurants in the country. But, you know, sitting there with some clients, I think you've got to understand the types and how they affect the retirement phase, right? And I think they all have different parts in the retirement system, especially when you change into that retirement system. And Steve, I think you see this the most, but things change, right? These products, the financial vehicles that have been around all these years, they change dramatically, really, every year and every decade.
And what we're seeing is a change of the types of, of the, you know, annuity word that always comes out, because people, when they hear annuity, they think of one thing. They think of, oh, I'm going to throw my money into a company and I get paid out a certain amount, either for life, just like Jim said, or for a certain period of time that's straight where their mind goes, right, Steve? So I think one of the biggest things to understand is, is now these things have evolved into, you know, some really, really cool vehicles, you know, now, now, not every annuity is for every, every, every person, right? There's going to be different circumstances. And that's exactly what I go over with a lot of clients is depending on, you know, really every client's goals. Everyone's unique. So it depends on your specific goals and needs in the retirement, you know, phase of what type of annuity you need, right? Whether it's a fixed variable or your fixed index side. Now, Steve, we've, we, we, we've been seeing a big popularity, you know, with fixed index.
Why do you think so? And I want to ask you this question because I feel like you've, you know, in your 30 years, you've seen, you know, every single change of the annuity, and it kind of evolving into more of a growth side, right? Instead of just a payout. What's, what's so popular about the fixed index team?
[00:07:23] Speaker D: You know, when I've seen, you know, 30 years ago when I got in this business, the annuities were pretty vanilla. I mean, you had a fixed rate that was similar to a cd, had some tax benefits.
If somebody wanted income, we had to put it into what's called a single premium immediate annuity. And, you know, that kind of put some bad taste in people's mouths, especially the beneficiaries when they came in on those type of accounts.
And then, you know, I think it was, might have been in 1996, sometime around then, they came out with these fixed index annuities. So they've been around a while. You know, that's what, 30 some years? Yeah, you know, they came out right before I got started. But I think when you're looking at these index annuities, the way they've evolved, they've gotten better for the consumer because of the competition. So anytime there's people coming into the marketplace, they're trying to up the other companies so somebody will buy their, you know, get in their investment. So we've seen these things improving, improving, especially with the baby boomers, the Silver Tsunami. Now they're looking at, hey, this may be a viable option for my portfolio.
[00:08:20] Speaker C: If there's one thing you, that you could take away from what Steve, you said, it's listen, these companies, right? Corporations don't build themselves to not generate revenue. Corporations don't create products to not be successful in, you know, selling or being able to get customers for that product.
So what they're doing is the actuaries behind the scenes, right, Are crunching some numbers to realize, hey, look, we're going to be able to benefit from a lot of clientele coming to us if we have, you know, better products, better growth rates, like, better. So what we're seeing is, is a change in, in really the competitiveness of the structure of the retirement. Because everyone knows the Silver tsunami, everyone's retiring, right? Everyone's getting to that age. So of course, these companies look at, look at all the retirees and say, look, we've got, we've got a monopoly right now. We've got, you know, plenty of these, you know, retirees that are going to need help with managing their funds and the wealth transfer, right, when they turn, you know, that retirement age. And it's so funny because, you know, people always talk about the stock market and it's like, listen, you know, I was just talking to my dad the other day. One of the biggest problems right now that we have is no one wants to talk about the issues.
No one wants to talk about the indicator, Steve. No one wants to talk about, hey, listen, what happens when you start taking money out when your stock market drops, right? I mean, we saw, we saw what happened the past two weeks. I mean, you know, we're seeing some volatility and it's for retirees, it's the last thing you want. You know, one other episodes, we really talk about putting in money versus taking out money and how the mathematically affects, you know, your entire portfolio.
And with the annuity it takes away, you know, some of that risk. And I think that one of the most important things about that is if a client is able to use some income or take out money or have a guaranteed lifetime income, not depending on that market gains or depending on the market risk. Right. It really minimalizes the way that a client can, can be able to be confident. Okay. So, you know, and I think that's one thing, Steve, that you bring up a lot and you know, that I, I really push towards the clients and we have seminars, you, you tell clients about what I do. But to be able to strategically put these assets in the places in the annuity world where these companies are benefiting them in their retirement. The companies are going to benefit, obviously, but so are the retirees.
[00:10:56] Speaker D: Right.
[00:10:56] Speaker C: And I think that a lot of people are starting to see that. Right. The popularity of these things.
[00:11:01] Speaker D: You know, you make a good point. And I was, you know, thinking about it. When we talk about the types, we know there's over 3,000 out there. To me, one of the most popular is that fixed index because it gives them the downside protection where they can't lose principal or gains that are added to the account. And I think that's what you specialize in, David, is when you sit down with people, you ask questions, you start trying to, you know, we don't just come in with a standard plan. It's everybody we sit down with has different goals, different ideas of what retirement's going to look like. Health comes into the play, maybe they're healthier and they want to go travel for the next 10 years and then they want, want to slow down. You know, we talk about the go go years and then the slow go and the no go. So all that comes into play and we do the planning. And I think when you look at the different types, you know, really it boils down to the fixed index, to me, is one of the most popular ones in retirement. The brokers out there, a lot of brokers and advisors are still trying to push the, you know, the variable annuities, which I'm not a big proponent of because of all the extra fees, and you still have risk on the account. So I don't know why they would go to a variable annuity. They would just leave their money in the market on one side, and then if they're looking for some safety with growth, they can move it to these fixed index accounts.
[00:12:07] Speaker C: Yeah.
[00:12:07] Speaker E: And if you're looking into replacing old annuities or how you even get started, we'll touch on that.
In just a little bit here. And don't forget to reach out to the guys. Give them a call at 850-424-8977. Again, that phone number, 850-424-8977. Coming up next, fixed rates and accumulation.
This is the Retirement Planning Pipeline.
[00:12:33] Speaker B: Visit Retirement Planning Pipeline to schedule your free, no obligation, complimentary consultation today. The retirement planning Pipeline will return in just a moment.
Welcome back to the Retirement Planning Pipeline. Here are your hosts, David Pipes and Steve Zarek.
[00:13:02] Speaker E: Welcome back to the Retirement Planning Pipeline. All about annuities today. Thank you for making our show a part of your Saturday. You guys, you know, it's, it's funny. Not only do you do this show, but you get yourselves out there with different seminars and you go to different restaurants and you do seminar seminars there. I think it's very cool that you guys are able to do that. And it's just another way for people, I mean, they can give you guys, of course, a call. We, we always plug the phone number 850-424-8977. But meet you guys in person, go to a restaurant, have a dinner, kind of a casual type deal. And you guys have been doing this for a very long time where you meet clients that way as well. It's pretty cool to hear about.
[00:13:47] Speaker C: Yeah, yeah, I'm, I'm a big proponent on that. And I'll let Steve kind of start because, you know, when I came in, and I'll let Steve, you know, go on a little bit about that. But I'm a person to person guy and I think, you know, a lot of clients out there and a lot of people that are hearing the show, you know, it's, it's very important to be able to meet someone on the personal level and assess their goals, you know. And Steve, I know you have a lot to say about that, but those seminars are a way for us to really understand what people need help with. Right. And it's, it's, it's nice.
[00:14:24] Speaker D: And we, yeah, we do them every week. We do some of the high end restaurants, you know, all the way from Crestview to into Alabama along the coast here. But I think that's more relaxed, Jim, like you said. And David and I, we get out there and we buy a nice dinner, we have a good time. It's a little bit more relaxed than some of the other events I've seen out there. I mean, we, we do a short presentation. We're not trying to teach them the whole world of finance and retirement. It's Just here's what we have to offer. Here's the hot things going on now, and we'd like to meet with you at no cost.
And then we can sit down and see if, you know, what we have to offer really fits their needs.
[00:14:58] Speaker A: Yeah.
[00:14:58] Speaker E: And as we dive back into today's show and again, give the guys a call 850-424-8977 for more information on that. But as we go back into today's topic, again, we're discussing annuities. If you like the content that we're providing, be sure to subscribe to the YouTube page YouTube.com and search Retirement Planning Pipeline for weekly video highlight and special content. All right, guys, let's talk about fixed annuities and how they can be used for safe accumulation. These are especially popular right now, guys, aren't they? Because fixed annuities can offer rates of a return around 4 to 5% today with 0 risk to principle.
[00:15:38] Speaker D: Yeah.
I'm going to start this off, David, and I know you're going to like what I'm getting ready to say, but we just had a, a statement come in on a client from, you know, these fixed annuities, they're, they're guaranteed. So I think it's one of the nice things they offer when a client, they don't have to worry about quarterly statements or getting bombarded every month from a brokerage account. They're really, they're guaranteed for a year and they look back a year. So we were just looking at, before the show started this morning, we were looking at a statement that came in. This is going back a year, and the client just received 12.9% growth on their account with no risk and no fee on that. To me, that's pretty amazing with the volatile times we're having right now. The market up and down. To me, it's kind of unbelievable. They got 12.9. I mean, you did math. If they even got zero next year, they're still over, over 6% accumulation in two years. If they get any kind of growth, they could be at 7, 8, 9% return over the next two years and have their money totally safe.
[00:16:35] Speaker C: That's, that's, I mean, and it's important now, Jim, the one thing I want to push is 4 to 5% is low. Okay, that's, that's what we can almost guarantee. I mean, you know, and I, it's not us guaranteeing as the company's guaranteeing it because, I mean, we've got fixed rates of, of 5.05 to 5.6 right now. That's a fixed rate. That's hey look, I'm not in the market. I don't want to link. I don't want my, my market link gains. I don't want the SB500 cap, I don't want the PAR rates. All I want is the fixed rate of return like a CD. You're going to get over 5%. And that's the cool thing about those two is they're longer, way longer than CDs offer and they're tax deferred. So you're not getting that 1099 R form, right. Or 1099 Int form. So I think that's where it starts, is the, is the fixed side to show you what it can do.
[00:17:21] Speaker D: But I was talking to a customer a couple weeks ago and they're like, oh no, I'm only doing three month CDs. I don't, I don't want to lock it in long term. So talking interest rates, if you can just for a few minutes explain to me why it's advantageous for somebody that's retired to take a 35 year guaranteed rate. Right now I look a little bit.
[00:17:41] Speaker C: Beyond that because I, I hope people are smarter in this world, especially when they get to the retirement phase. But if you're out there and, and you're listening to our show and you're thinking about, or I'm sure a lot of you have finances, right? Interest rates are not going to stay this high. They're already coming down. They're going to come down more. It's going to happen, right? I mean we're, we're seeing a big push down that benefits a lot of other things in the economy, right? That's not a bad thing. But for interest rates, for CD rates and for money market accounts, it will deplete the earnings in the interest rates of those accounts. Well, what does that mean for you? CDs for only offer 6, 12 and 18 months for a reason, right? So what we have to understand is banks loan out money. In the investment world it's totally different.
Right? These investment companies don't have to loan any money out.
So for instance, two years down the road they're giving someone five point something percent. It's okay because they don't have to loan out money for a lower interest rate. Okay. When interest rates are low in two years, right. They can still be in the market and still be invested in real estate. They can still be invested in their own, you know, developmental investments. But what's important about that is that you're not going to have the time that you have right now. I think I call it a financial phenomenon. And I've been doing that ever since I really started in this business, especially because two years ago we started to see these rates really come up. And the phenomenon is, is literally for retirees. We have never had the, the ability to help a retiree in the ways we do right now. I mean, Steve, you've been in 30 years. When is the last time that you ever been able to do what we do for clients?
Right?
[00:19:19] Speaker D: Well, I haven't seen it. I haven't seen it. I haven't seen like, you know, we looked at that statement. I haven't seen a statement like that in 32 years I've been doing this. I mean, they got almost 13 growth and they have 11 income payout. I mean, that's the best of both worlds. We used to, used to, we had to give them one or the other or divide the money up. If they want income, you put it here. If you want growth, you put it here. Now we can package together. And I think, you know, part of that's because the interest rates were high.
We've seen some changes recently, but it's just, it's, it really excites me. I mean, I've never seen, you know, the company. We've got shorter terms now. We've got higher growth, we've got better income.
And again, I think that's why you're seeing these record deposits going into annuities.
[00:19:58] Speaker C: And we're seeing more people, Steve, and you can, you can understand this. We're seeing a lot of people become conservative now. I mean, everyone wants to be conservative because they're not. I mean, they know, right? They, they've been through the 08 crash. They've been through, you know, some. The 2000, 2001, 2002 drop years, right? So what's happening is, is people are understanding the growth and the value that they have in their investment account and the compounding interest that they've gained in the past 20, 25 years. And they're realizing, hey, I've accumulated this wealth. Why am I going to risk it all, right, and have a 20% drop of my big value, right, When I'm not plugging money anymore and they're getting, you know, smarter.
[00:20:42] Speaker D: You make a great point because it's so exciting right now where, like you said, these people in retirement are close to retirement to thinking, hey, I've had all these gains the last two or three years. And think of this concept, I can take that gain and sell it, reposition it over here into this index fixed annuity. And if the market keeps going up, I go up, but if it drops, I don't. I still have my gain because I sold out of the market. I mean, it's a win win situation, I think. I think a lot of our consumers and a lot of our retirees are really getting smart on that concept, and it really plays a big part of the planning.
[00:21:11] Speaker C: And the big.
The big mathematical part is this, Steve. But seriously, I mean, if you think about it, okay, and you're at home and you're sitting down, or you're thinking about your finances and your retirement, if you can follow along with me for literally 30 seconds, if you have, let's say, a half million dollars, and you put a half million dollars, okay, that you've accumulated, all right, and you say, hey, look, you know, I've doubled my money. I had $250,000 is what was my cost basis, and I've doubled it.
And you put that money away into, like, let's just say a 5%, make it really easy, okay? You're compounding not only on the money that you put in, but the money that you have. You can't go down anymore, okay? I think people misunderstand what. What the interest rate and compounding actually does, right? 5% on $500,000 is $25,000. That $25,000 to 250 grand is a 10% return, right? So that's where I think the retirees should need to be able to. To think like that, right? They need to be able to open their minds and say, look, with the amount of money that I've gained, let's not take losses anymore and be able to compound that interest. I mean, we did spreadsheets and we did whiteboard examples of being able to cut the losses and being a little bit more conservative on some of the money. Now, see, the market's great. You know, me, I'm a day trader. I love the market. I love the stock market. But you love the stock market when it's hot, okay? No one likes it when it gets a hat, when it has a hefty drop or the volatility is high, right? Everybody's on shore. Everybody's. But we're seeing a big movement from people, and they're. They're just becoming smarter. And I think that's why we're seeing all these financial, you know, advisors come out and these financial corporations and companies with these big old, you know, advertisements where we'll do better. You know, please put your money with us and all this stuff and we, we take you first. And I mean, that's all bull crap, Steve. I mean, come on, they just want you to keep, it's what your fees to be able to keep going because they know that down the road, right, this money has to be used somewhere. And I think that there's so much change coming in everywhere that we're realizing, hey, look, you know, there's, the stock market has its place in every single, you know, portfolio.
[00:23:31] Speaker E: It really does.
[00:23:32] Speaker C: And I, and I, like I said, I love the stock market, but to be able to allocate your assets and position them properly is something that really 95% of people that I meet and that think they're, they have done, haven't done, Steve. You know, and that's a huge problem right now. And I think it's one of the biggest problems right now.
[00:23:51] Speaker D: Yeah, I agree with that. I mean, in a neat concept like you talk about, you love the stock market. I like the stock market especially when it's doing well.
But, you know, be able to put your investments in a vehicle that can still gain when the stock market goes up. I mean, that's a beautiful concept in retirement. So, you know, again, it's taking the guessing game out. You know, it's talking about those interest rates. You know, I think, you know, on this show, I think a lot of people may be nervous about the market. They're starting to move into these CDs and these banks because of the guarantees.
They, they probably should open up their eyes and look because there's better rates out there outside the bank. And you made a good point earlier on that, you know, the difference of, you know, an insurance company getting a deposit, they're not going out and giving you car loans and, you know, we're not going to an insurance company to buy a house, you know, get a loan for a house, right? So they're investing it, they're trying to make money. They're in turn getting the money. You go to a bank and, and let's say somebody goes out and gets a loan and the loans, they, they get a deposit for somebody, they pay them 5 and they loan it for 7. Or what happens in rates start dropping and they're still giving that, you know, they're, that's why they're doing shorter term guarantees. With the higher interest rate at the banks, they know the rates are going to be going down.
[00:25:01] Speaker C: So, and that's where I think it, it's super Important to understand too is, you know, we're not going to have these times anymore. We're going to have, it's, you know, a couple years down the road. We're going to see, you know, a different time and we're going to assess those values at that time. And this show might be talking about something totally different, right? I mean, we might be all about, you know, really, you know, hitting a different sector. We have no idea. But the bottom line is, is that if you, if, if you're out there and you listen and if you have your money in a bank, you need to sit down and go over it. Okay? I just had a couple clients that had, you know, investments with, with the bank or, or certain CDs, things like that. Guys, it just, you can do better. You can do better for longer. I mean, it's not, it's not a trick. It's not a tricky situation. It's just, hey, look, you know, do you want, do you want to be able to have your money last longer? Do you want more growth guaranteed? I mean, you know, there is no pitch in that, right? And, and for anyone out there, that's like, well, I just want to see the.
[00:26:00] Speaker D: In short term.
[00:26:00] Speaker C: I mean, what are you going to do with your money in 12 months?
[00:26:03] Speaker D: What are you going to do with.
[00:26:03] Speaker C: Your money in six months if the race drop again? You know, one of my clients, the best you can get was 4%. I'm like, what are you going to do when it goes in the two. In six months, right?
[00:26:12] Speaker D: So, yeah, I mean, we have higher minimums on other accounts.
[00:26:15] Speaker C: And, and it's just, it's just simple, you know, and, and, and for everyone listening out there, you have to understand there's better ways to retire. There's better ways to, to, you know, strategize your retirement than keeping your money into a, just a CD account, right? Or a money market account or even the, you know, I've seen people with savings accounts that are huge and I end up helping a lot of clients out with those because you do the numbers and it just doesn't make any sense. But, you know, so that's, that, that, that's one of the biggest problems right now.
[00:26:45] Speaker E: And if you're hearing all of this and thinking is a fixed annuity, right. For me, let's talk about it. Please don't hesitate to contact the guys with all of your questions. They want to help you. David and Steve, they'd love to meet with you and discuss how they can help you reach your financial goals and guide you through those tax strategies, risk management, income planning, and of course, all the annuities, the whole nine yards. So visit retirementplanningpipeline.com today you're listening to the retirement planning pipeline, helping you take.
[00:27:15] Speaker B: Control of your financial future. This is the retirement planning pipeline.
[00:27:29] Speaker A: Do you want a steady stream of income for retirement? Then it's time to consider annuities. I'm Matt McClure with the Retirement Radio Network powered by Amerilife. Gone are the days when most employers offered pensions with guaranteed lifetime payouts to their workers. But what if I told you that you can build your own personal pension? It's possible with an annuity. An annuity is a financial product that provides a series of regular payments to an individual over a specified period of time, often for the rest of their life.
[00:27:58] Speaker C: There are several options for you to consider when choosing an annuity.
Be confident in knowing that there is an annuity out there that can meet all of your needs.
[00:28:06] Speaker A: Ford Stokes is founder and president of Active Wealth Management and author of the book Annuity360. There are several different types of annuities including fixed variable and fixed indexed.
[00:28:16] Speaker C: A fixed annuity offers a specific guaranteed interest rate on their contributions to the account. A fixed indexed annuity is an accumulation based product offered by an insurance company. The growth of your fixed indexed annuity is dependent on the performance of a chosen stock market index, but your money is not actually invested in this index. This offers you great growth potential and exceptional protection for your investment.
[00:28:42] Speaker A: While each can provide tax deferred growth and a lifetime income stream. Variable annuities put your principal at risk in the market.
[00:28:48] Speaker C: If you are currently investing in a variable annuity, your funds could be in serious trouble if the market experience any downturns.
[00:28:55] Speaker A: With so many possible choices to consider, it's essential you speak to a financial advisor or professional to help you make the best decision for your future.
So are you ready to consider an annuity as part of your retirement plan? It's a key question to consider as you approach what should be your golden years with the Retirement Radio Network powered by AmericanLife. I'm Matt McClure.
[00:29:16] Speaker B: Planning for retirement doesn't have to be overwhelming. Get expert insights, tools and personalized strategies to secure cure your Future. Visit Retirement PlanningPipeline.com today. Your retirement, your plan, your peace of mind.
[00:29:32] Speaker E: This is the retirement planning pipeline. If you've missed any part of today's show or want to go back and listen to previous episodes, go ahead and subscribe and listen to the program in podcast form Apple, Spotify, or whichever platform you enjoy your podcasts. All right, stay with us, because coming up, the process of replacing annuities. But guys, let's get into how annuities provide income. And this is where people really start to see the value of annuities.
[00:30:01] Speaker C: Yeah, 100%. You know, I think, Steve, I'm going to let you start on this, but I'll, I'll say this. You know, one thing that going back to what's super important now, right? And like going off from the other segment, we don't have. We're not going to have what we have right now. I mean, it's a financial phenomenon. And we have. Retirees have a serious, you know, advantage right now. Steve, I want you to tell a story about one of our clients that, you know, that you help with that joint income. Can you talk about that?
[00:30:34] Speaker D: Yeah, I. I know exactly you're talking about because it's unfortunate what just happened. You and I met a client probably a year and a half ago.
I think it was over in the Foley. We did one of our workshops over there at local company, very nice restaurant. And we met him, sat him down, and they already had annuities. So, you know, we sat down with them. The guy was working part time, the wife was semi working.
He was having issues, if you remember, he. Remember he had to stand in the meeting and so he didn't want to do anything, but he wanted us to look at what he had, and we offer that. So we went through his portfolio, looked at what he had. He had a couple variable annuities, and he had income riders on there because his goal was when he stopped working a couple years later, he was going to do some income off of his investments through these variable annuities.
So we went through and they were both sitting there, and you remember when we did the research on it and we looked at the contracts and I said, well, I'm not going to say his name, but I said, hey, we'll just say he's John. I said, hey, John, did you realize, you know, your wife's a lot younger? Why did you not put survivorship on this? You know, you realize the way your contract reads, it's only income on you, and once you pass away, there's no more income for her. So if the account goes to zero, she's going to be left. And she was quite a bit younger. I mean, I think it was a good seven, eight years younger. And long story short, he didn't believe it. We had to call the company on a conference Call right in our conference room. We got him on speakerphone, and we asked all the questions he gave us the permission to ask, and we wrote it all down. We hung up the phone and I said. And the wife looked at us and she said, well, that's a problem. This needs to be joint. And they couldn't switch it to joint. So we shopped you and I did. We did a lot of research, took a couple days to get back to them, and we found a company that we could move it to and put them in joint income.
And that way they were protected. And it gave him actually higher income joint than he was going to get single. So not only are we moving a new company, we gave him higher income, and it was joint income.
Fast forward to just about two days ago, I get a text message from the wife.
And our client passed away on October 11, a little bit about a year and a half after we did this with him. And I said, well, first thing I said to her, you know, I'm sorry, what happened? Because I didn't expect him to pass away. He was only 67 or 68.
And she said, you know, he had heart issues. And it just, it just, just came about and he passed away. And I said, well, you know, if there's anything you need, you know, we'll definitely need to meet and go over your finances. I said, but you remember a year and a half ago, we moved you to joint income, so your income's not going to change on those investments. And I mean, she was so, so thankful. And this goes back to trying to talk to people about these income plans. You know, if a spouse is involved, it's important the planning's done, you know, because IRAs are what, they're individual accounts. You know, you can still reposition those where they have a joint payout to protect that spouse.
[00:33:24] Speaker C: Right.
[00:33:24] Speaker D: You want to elaborate on that, David?
[00:33:26] Speaker C: Yeah. And, and that's, that's something that we see a lot, too, with clients who have a significant age gap, you know, because we especially, you know, males that are, you know, five to 10 years older than the females. And, you know, males obviously. Right. In the insurance world have a higher probability of passing first. Right. Than females. Right.
Which is kind of not, not the best case for us. But, you know, that's how the insurance companies look at it and the actuaries in the background.
But that comes. Been a big play when it comes to income planning. And when income planning comes about, you know, I, I think that a lot of the times people don't, they don't understand it correctly because all income is, is, is depending on, you know, expense ratios and depending on goals.
[00:34:18] Speaker E: Right?
[00:34:19] Speaker C: And I can't stress that enough because everyone wants to talk about the 4% rule.
And if anybody has been to my seminar, I'm sure there's some clients listening to this show.
You can't plan every single person the same. I mean, it's just not going to work. Right.
And we're seeing that, Steve. I mean every financial planner you're going to see, AI systems you're going to see. That's why AI is never going to take over the financial planning world on the retirement side because it's not about the plan that is been there forever or the plan that someone created and that everyone should abide by. Right. We see the different structures. I've had clients that had to use their IRAs for income because they needed to cover their expenses and their bills and their medical bills and things like that. I've also had clients that just wanted to income for straight, you know, cruise trips or, or certain trips out of the year or you know, backpacking or certain clients that pensions but wanted some extra money for certain things or to be able to pay this nice car that they wanted for retirement. There's so many different strategies, right? Possibilities for different clients and strategic, you know, options. You can't, you can't pinpoint one down and just give everyone the same one. And right now in the industry, Steve, and I'm going to, I'm going to give it to you in a second because I know you have some things to say about this because you've been seeing it a lot too.
The financial industry is trying to brainwash people, you know, because obviously everyone wants the easy route. Everyone wants to just put your money somewhere and say, okay, well you're going to pay this fee to us. We're the professionals. But what do they really do with the money? I asked my other client the other day, I said, if you pay me a 1% fee each year, shouldn't I be managing that those funds every single year?
I said, when's the last time these funds have been repositioned?
Oh well, those, my cost basis has been since, since 30 years ago. Well, ma', am, why are you still paying fees on that same account that they shouldn't you just pay the one time fee for when they set it up? Right. These things come about and the knowledge of these things are kind of weird because everyone's always told you just want to go by what people tell you instead of what's Right, right, Steve.
[00:36:35] Speaker D: Well, that, that's a good point. And, you know, when we're talking about income planning, I think one of the biggest things. And you, you've been very involved in this income planning. And, and it, I mean, clients, we have clients, a lot of clients that have, you know, millions of dollars. And I don't need income and I don't need this. But I know you always say this, and I say it, you know, income. To me, that clients that are getting income they don't need are very happy clients. I mean, they are if they have more income than they, they can spend. Well, guess what? Now they're. They're buying more investments, they're going on more trips, they're buying a new boat still in retirement. They're gifting to kids and grandkids because the income's coming in. So if there's a vehicle out there that gives you guaranteed income and they're as high as they've been for the last year and a half to two years, why not take advantage of the times? And that's what we try to tell people, especially when they have IRAs or TSPs or, you know, I, I bring the story up quite a bit. That client I met three or four years ago, who was a nurse, single, you know, built up a nice, I think close to half a million dollars, and she was getting ready to retire. And she told me, and this is where I got the go go years. You remember the story? Yeah, she told me, she said, well, Steve, you know, I've taken care of people for 40 years in the hospital, and I know what happens when they get to the age of 80, 85, 90 years old, they're so sick they don't even want to spend their money. I want to take money more up front. I'm 65, going to be 65. I want my granddaughters, I want to help them with their horses. I to want, I want a higher income for the first 10 years and then it can trickle down because I probably won't need it because I'll go from the, you know, the go go years to the slow go, and then no go where I'm just stuck at home. So the neatest thing that we found there is actually vehicles with these income annuities that you can do that. I mean, what a neat concept. You can accelerate their income while they're using it and then slow it down when they don't need it.
[00:38:23] Speaker C: And that's the kind of planning you.
[00:38:24] Speaker D: Can do, you know.
[00:38:25] Speaker C: Right. They're super versatile in Which I go over a lot in my seminars, too. I mean, people think that annuities is a straight word.
And it's funny because if anybody out there, you know, if anyone has a 401k 43b tsp, especially tsps, I'm dealing that with that with my, my father right now.
You need to meet someone, you need to sit down, you need to go over it, you need to understand what it is, how you can roll it over. Right? Because there are certain fees and expense ratio fees inside those mutual funds, but not only that, there's only limited options, right?
[00:38:57] Speaker D: Yep.
[00:38:57] Speaker C: And in the private market, we see this all the time, 100% of the time. The private market beats everything that any company is going to give you right now. It's easier for the company to offer you something, right? But that's why they don't have to offer you the best, okay? It's because they don't have the competition that these other companies do by getting, you know, more business. Right. These companies already are holding your money, so they can easily offer you something and then you switch it over.
[00:39:25] Speaker D: Okay, so let me, let me ask you a question. Actually, you made a very good point. I want to reiterate that, you know, because I've had clients tell me we do a lot of TSP money, you know, here in the Panhandle with, you know, people working for the government and whatnot.
And inside that tsp, they can turn on income.
[00:39:40] Speaker C: They could turn. Yes, yes, there's a but.
[00:39:42] Speaker D: You're telling me that. And I know the answer. I'm just going to set you up a little bit. But.
[00:39:45] Speaker A: Yeah.
[00:39:46] Speaker D: So basically what you're saying is a client can come to us, me and you, and we can do a plan for them and, and almost 100. Almost 100%. Or maybe I don't, I haven't seen it yet, but we can't really say 100%. So everything I've seen, we can beat the income. Is that correct?
[00:40:01] Speaker C: So. Well, yes, but Steve, listen, man, there's one thing that I have to say here and the hundred percent thing, I know, you know, you should never see 100% on anything.
There's never going to be unless you have a pension, which we can't even help with if you have a lump sum of money, okay, a lump sum of a. Or you have an old annuity, or you have, you know, a 403B or 401K within, with an institution. Steve, there is no way that any other company can beat the private market. And there's a reason why the private market is there to be able to help people. Right. Companies like nationwide companies like, you know, EquiTrust, Allianz, Athene, all these big companies that, you know are multi, multi billion dollar companies, they don't get their business from people who were already with them 20 years ago. Steve. Right, right. They have to have something special for these clients to go to.
They have to be better. Steve. So the 100 thing, you know, I will stand by it all the time. Now if you have a personalized pension, you can't even move it. Right. So there's some companies that say, hey, you've done this, you've done this much in or the county or whoever says you've.
[00:41:15] Speaker D: But you and I've done clients together. You've seen the TIA crafts, the TSPs, all these different accounts that, hey, I can just turn on income in my own account. Well, hold on a second. Let us shop it for you. You know, I can almost promise you we're going to get a better payout for you. And I think that's talking income. I know we're the next segment I'm pretty excited about, but this segment, talking income, you know, if you think about this, you know, you're looking at these income payouts and people that need income and it's never been this high, you know, take advantage of it.
[00:41:45] Speaker C: Yeah.
[00:41:45] Speaker D: You know, and that's a guaranteed income for life. So once they lock it in there, if rates start dropping over the next six months, eight months, they don't have to worry about it.
[00:41:53] Speaker C: And protection from market risk, Steve. I mean, it's kind of a no brainer, right? So, yeah.
[00:41:59] Speaker E: And if anything we've shared on this week's show makes sense to you and you could use some help with a free no obligation retirement consultation. Don't hesitate to give us a call. We do this show to bring important information to people like you and we love meeting our listeners. Visit retirementplanningpipeline.com or call 850-424-8977 for your personalized investment confidence checkup. Stay right there. Coming up next, replacing old annuities with new annuities. You're listening to the retirement planning pipeline.
[00:42:31] Speaker A: 30 years of combined retirement planning experience. Call David and Steve today at 850-424-8977. The retirement planning Pipeline will be right back.
[00:42:46] Speaker B: Missed part of today's show. The Retirement Planning Pipeline is available wherever you get your podcasts
[email protected] welcome back.
[00:42:56] Speaker E: Inside the Retirement Planning Pipeline, the show that delivers expert insights, action, actionable advice and real world strategies to help you retire confidently and comfortably. Always you have to retire confidentially, but also comfortably. Jim Taraboki, alongside retirement planning specialists David Pipes and Steve Zarek, thank you for making this show a part of your weekend on whichever platform of your choosing. All right, guys, we've been teasing it throughout the show, so let's jump right in. When should you replace an old annuity? We see this all the time. People bought annuity 10 or 15 years ago and it's just sitting and earning next to nothing. In fact, some older contracts have fees that don't justify the return anymore. Others have outdated income riders or better options available now.
[00:43:43] Speaker C: Yeah, that's, that's a big topic and I'm glad we're, we're getting into it. We've been kind of finicky ready to talk about it because most of our business right now is coming from old annuities. And if you're out there and you have an old annuity, there is nothing more than, I would say that you need to be in this office. Right. Right downtown. Come in. It's a. You don't pay us anything. Right. There's no fees, there's no obligation. But let us help you. And if, I mean, let us at least try to see if we can help you. Let us use a whiteboard. Let us go over it. And I want Steve to go over a few instances where he's actually helped out as well. But the one thing I think that's, that's super important, like we said earlier, is times are different, income's better. Okay. Rates are better.
Right. So like I, like we've been talking about this entire show, these annuities, or if you're, if you're looking for an annuity or, you know, if you've been an annuity or you're, if you've had one for a while or it's lost or you don't know where it is, or you just got one a couple years ago, you need to be able to shop those. Okay? Companies get better. They don't get worse. Companies want to get better. They, they want to be able to help you. And interest rates are high right now, so they're able to really, really get better.
And you know, Steve, explain to us one scenario.
You know, on your side, whether it's the income side or the growth that you have had, actually had a client, right. That either had some fees they didn't need or maybe their income was lower.
[00:45:10] Speaker D: Yeah. You And I both have been doing a lot of business here the last six, eight months looking at annuities in the area, comparing them to the marketplace like you talk about. And I think one of the things I'd like the listeners to, to think about if you purchased an annuity three, four or five years ago, if anybody recalls where interest rates were three or four or five years ago, I mean I think we had a zero interest rate at one time and it was, they were 1%, 2%. So when people go into these annuities, you know, they got into them four years ago even or three years ago, that whole annuity contracts based on the current interest rate environment.
So we go into contracts now, the interest rates are higher.
So when you can to reposition. I was looking at a contract the other day and you know, the minimums were lower because of the interest rate environment. So they didn't have the guaranteed minimums of the three or four and a half or five. It was a 1% minimum. Then you saw caps on these where they couldn't get an upside above a certain number. And you've seen them too. We've run into caps on the interest rates of 4.6%.
And now, you know, we have cabs, 10, 11, 12. So if somebody can move a contract, it's not just for somebody like you or I to make a commission, but if we can help the client, then we're going to be advocates on, hey, we need to reposition this and here's why. And we have to make sure they clearly understand the benefit to them, not to us. You know, we're the fiduciary. There's 3,000 of them out there. We're going in and looking at the contracts line by line. What is the goal of it first? What do you want it to accomplish? You know, maybe I just, you know, I was working over Mississippi a few years ago and a client got into a contract and it was a 12 year contract. Well, I'm not a big fan of those. That's, that's too long in retirement if you ask me. So I was able to reposition what he had and he was only in the contract for three and a half years. So he had some charges to move it, but we made up the charges. I put him into a seven year contract which was less than the remaining contract term he was in. And I gave much higher caps going forward and that made perfect sense. He wanted accumulation, you know, and it, and you and I, we just helped the client not too long ago in Orange beach and I'll let you talk about this. But his goal was income, you know, income down the road a year or two from now. So he got an annuity. I think it was what, three, four years old? I don't know.
It was two years old. So, yeah, he bought one two years ago from a company.
They gave him your famous words, bogus bonus. And he's like, man, I got this bonus and I got this money and I'm using it for income. And what did you do? I'll let you talk about, you know, what case I'm talking about, I'm sure.
[00:47:47] Speaker C: Yeah. I think, you know, sitting down with clients and understanding well, what they have first is super important. And, you know, for anyone out there, that's the number one thing that's. That you should understand if you don't understand the full contract.
Right. That's. That's the first red flag. Okay. And this is what kind of happened. I mean, sat down with a client over in Orange beach, you know, super wealthy guy, ended up, you know, wanting a goal, but ended up going with a agent that only had one company. And that's what started the situation. That's why I kind of already knew, you know, the situation that I was in with the client, because, you know, being in the business and being surrounded by people that are not, I won't say uneducated. I'll just say not as versatile as us or limited. They're limited, right? Limited is a great word, Steve. Yep. So, you know, being limited on what they can sell and what they can represent for a client, that always gets them kind of in a sticky situation because, you know, the client end up having an income of pretty low. It was about 6%, 6.5% of what they put in. Right. Well, sadly, what he was sold on was the opposite of the income. We've sold on a income bonus. Okay. And for you guys that don't know what an income bonus is, it's. Steve calls it a bogus bonus. But what happens is, is the company, which. I don't know how long this is going to be able to happen, Steve, because I don't think it's.
I just think they should have a payout rate. And that's it. I don't know what.
[00:49:25] Speaker D: That's it. Yes, I agree.
[00:49:27] Speaker C: I, you know, that's my personal feelings on it. I think that it's confusing clients and it's confusing agents. I think other agents out there that aren't as, you know, intelligent on some of the. Some of the products are getting confused when they represent for a client and it's, and it's cause of sticky situations. I really do. But anyways, you know, it's not their money, so they think that they've got this bonus that was sold for the wrong way and their income's low and they have no growth.
So all three red flags are popping off. Okay.
We ended up finding, you know, a couple contracts, a couple different companies actually, that actually replaced. Right. Those, those contracts and increased his income by like 30%.
[00:50:09] Speaker D: How, how neat was it, though, with this exact client?
While we were doing his planning, he had several contracts, and you and I uncovered a contract he had set up for income, and the company had a new income product today. Yeah, yeah. That. We actually just repositioned the money inside the company, so we didn't even get a new company. We moved it within the company to get him a higher payout.
[00:50:33] Speaker C: Yeah.
[00:50:34] Speaker D: And he's like, I can't believe you can do that. I'm like, yeah, it's, it's. They're not going to tell you that. But we know the industry. And he was amazed. It was, that made me, I was proud. That was a neat situation because that's.
[00:50:43] Speaker C: Well, I mean, and we've got that company in every other one, Steve. So for us, we're like, hey, look, you know, let's. Okay, that, that, that's a, that's another great product. We called the company ourselves, told them what we were doing. They're like, yeah, cool. They put it away. And now I, I, I do want to cover one thing. I think that's important on this side, too. And the suitability side. Okay. I went over this with some clients in the past couple weeks.
The suitability side is where is why a lot of agents out there, okay, can't do, don't do what, what we do.
All right?
You've got to be mathematically intelligent. You've got to know situations. You've got to understand the client's goals and needs. You got to have the access to multiple, multiple carriers to be able to do and, and help people out with old annuities. Right. Especially in surrender charges.
[00:51:36] Speaker D: You know, that's a good point because these are insurance products. So it's all regulated by the state insurance department. So, you know, if you want to move a contract, it's a word called churning. They don't want agents out there churning clients money just to make money. The client to make the agent money. So if and when you do it, and you and I, when we do the suitability, I mean, we Line item, everything. I mean, we look at fees, we look at surrender charges, current cap rates, current minimums. Is the goal income, does it have long term care riders on it? Are we looking for growth? I mean, you and I sit down and I mean it takes, those are the toughest ones is replacing old annuities. But we do the work for the client and if it ends up at the end of the day better for the client, then we do it. And I think that's the important thing. And that's where we come in, having access to all these companies, spending the time analyzing it for them. Because the bottom line is, like you said, if somebody says I want income, I don't care about a bonus, I don't care about this or that. If somebody says I want income, I'm shopping for the highest payout income when they want to take the income in the country.
[00:52:41] Speaker C: In the country.
[00:52:42] Speaker D: So if a client comes and says, Steve, I want to start income a year from now, what's the highest payout I can get? I'm not promoting a bonus, I'm not promoting anything but the highest payout income. Now if somebody says I want growth and income, then you and I shop, you know what I'm saying? And I think that's the difference and that's what we can help people with when, you know, with the retirement pipeline here and people need to call us, I mean, we can sit down with them. Anybody has annuity, it's 2, 3, 4, 5 years or older, really needs to take a hard look of seeing if there's anything out there, you know.
[00:53:13] Speaker C: Yeah. I mean, what I've also been seeing a lot of too is people in clients have annuities that aren't meant for the right, the right goal.
[00:53:25] Speaker E: Right.
[00:53:25] Speaker C: So you'll see excess fees. I mean, you know, invariable annuities are one of the most, you know, misrepresented annuities out there because they can get really tricky and really compound, you know, the fees, the transaction, the expense fees, the allocation fees, management fees, it goes on and on.
Right. So I think variable annuities as well, but on the fixed index side. Steve. Right.
Having someone in the wrong allocations with a fee, okay. Having an income rider doesn't need to be on the policy because they wanted growth.
[00:54:02] Speaker E: Right.
[00:54:02] Speaker C: So all these things, I mean, we'd. Your wife and I actually met a client over in Prito Key and the poor lady just got, got sold the wrong product, you know, and she was paying, she had no growth. She lost $20,000 in principal on a $400,000 contract in a matter of four years.
[00:54:23] Speaker E: Right.
[00:54:23] Speaker C: And it hurt her heart because the MVA and everything, the surrender charges was a little lower.
We ended up being able to help her out, right.
[00:54:30] Speaker E: With.
[00:54:31] Speaker C: With more growth. But the goal wasn't income.
That wasn't the goal. She got to sold an income product when. When the. The actual agent didn't sit down and go over what that client needed, what her goal was.
[00:54:46] Speaker D: Yeah, it's a good point. I ran into a client a few years ago, and I, and I like, we like to talk about client stories. Cause I'm sure there's a lot of people when we say something, they' that might be me. But if you think about this, I mean, I had a client that actually, and this is a little complicated, so I'll try to get it where it's easy to understand, but they had an IRA account, and the account, the annuity they were in only gave a credit every five years. And they were already at the age they had to take out their rmd.
So when I looked at this contract, I said, something's kind of weird here. You know, they were in it three years of the five years, never got a gain. And they're pulling money out because of RMDs.
So they put this money in there. And I said, you realize you haven't made a dollar on this in three years and you've taken money out of it. It was absolute wrong annuity. It was just, you know, and he. The client kind of got frustrated me, I said, look, I wasn't the original agent. Whoever did it, I didn't even ask his name. I said, whoever sold it to you obviously didn't know what they were doing. And that's again, these older annuities, you know, even 2, 3, 4, 5 years old probably can be improved. Just looking out at the marketplace, you know, today and just evaluating what's out there. And it may not always be like that. If interest rates go down again, you know, it'll be different times. They may not want to move them.
[00:56:01] Speaker C: Right. Things will. Things will change, you know, And I think one thing, and I'll end on this because I know, you know, we're wrapping up here. But if. If you need help, okay, which not even if majority of people need help, okay? And you just don't know it, sit down with someone, go over it, find, you know, just see, you know, you might be all, okay, but if you're not, and you end up like, like one of our clients that end up not, not able to make their money last or having trouble taking RMDs, or, you know, having money in the wrong places or getting excess, you know, fees that shouldn't be charged.
All these things need to be looked at.
You know, just, just sit down at least in these, go over them, right? That's, that, that's one of the most important things that I've been seeing is at least acknowledge what you have and understand it. You know, the plan needs to be different than what it's been for the past 20 years, right? You're, you're, you're in the retirement stage now. You're not in the working stage. So things have to change, right? Allocations have to change, and you need someone to help you out with that.
[00:57:07] Speaker E: All right, well, before we sign off this week, a quick reminder. If your current plan feels a little too fragile for today's markets, now's the time to strengthen it. Visit retirementplanningpipeline.com or call 850-424-8977 for a volatility stress test and a personalized protection plan. And if you missed any part of today's show, don't forget to subscribe to the program and podcast form on Apple, Spotify or wherever you get your podcast. Subscribe to the show on YouTube. Search Retirement Planning Pipeline on YouTube for clips and special content as well. This is the Retirement Planning Pipeline for David Pipes, Steve Zarek, Jim Tarabokiev have a great week, everybody.
[00:57:48] Speaker B: Thanks for listening to this week's episode of the Retirement Planning Pipeline, the show that helps you take control of your financial future. Whether you're five years from retirement or just just getting started. Retirement planning specialists David Pipes and Steve Zarek have the strategies, tools and experience to help you make the most of your nest egg. Take control of your financial future and get started today by visiting retirementplanningpipeline.com and if you missed any part of the show today or want to catch up on past episodes, be sure to subscribe to the Retirement Planning Pipeline wherever you get your podcast. Podcasts not affiliated with the United States Government. Amerilife agents do not offer tax, legal or investment advice. Consult with your tax advisor or attorney regarding specific situations. Opinions expressed are subject to change without notice. These opinions are not intended as investment advice, nor do they predict future performance of any product. All information provided is believed to be from reliable sources. However, we make no representation, presentation or warranty as to the accuracy of any statement. This information is intended to be educational in nature and does not provide a guarantee or specific result. All copyrights and trademarks are the property of the respective owners. Amerilife assumes no responsibility or liability for the content of this message. The information contained herein is provided on an as is basis with no guarantees of completeness, accuracy, usefulness, timeliness, or the results obtained from the use of this information. Charles David Pipes and Steven Zarek are individually licensed and appointed agents. Learn more at retirementplanningpipeline.com fixed annuities, including.
[00:59:19] Speaker A: Multi year guaranteed rate annuities are not designed for short term investments and may be subject to restrictions, fees and surrender charges as described in the annuity contract. Guarantees are backed by the financial strength and claims paying ability of the issuer. Any bonuses mentioned may be subject to additional restrictions and regulations based on the offering annuity company. You may not receive the bonuses if the contract is fully surrendered or or if traditional annuitization payments are taken and if the policy is partially surrendered, it could result in a partial loss of bonuses. Because these are bonus annuities, they may include higher surrender charges, longer surrender charge periods, lower caps, higher spreads, or other restrictions that are not included in similar annuities that don't offer a bonus feature.
