Quote:
Originally Posted by triflex
Only annuity I would consider is a life annuity which can be quoted through Immediate Annuities - Income Annuity Quote Calculator - ImmediateAnnuities.com . There are no commissions for the most part and that is why no one ever hears of them.
The life annuity is easy to understand. You get a quote on how much you will get monthly based upon the invested amount. Just divide the monthly quote into how much you invested and divide by 12 to see how many years it takes just to recover your investment.
To me it still makes no sense to buy even that annuity because they are based on bonds I believe. It just makes too much sense to stay in the stock market.
I would only ever consider it via the highest rated insurance company they offer. |
Even on my favorite money show,
WealthTrack on PBS, Christine Benz, Morningstar’s Director of Personal Finance, mentioned that some annuities are OK. If I am remembering correctly, she said that some annuities have more transparent language of in their contracts than others do. The reason I personally have avoided annuities is because I do not completely understand the various types and would rather just wing it with dividend stocks. But that’s just old buy-and-hold me. I know others who are comfortable with annuities though.
Christine Benz was interviewed on the January 14 episode which can be found on Consuelo Mack’s Wealthtrack YouTube stuff. That episode was a really good one. She also addressed withdrawal rates, along with alluding to the bumpy ride we could be facing until inflation calms down.
Boomer