Annuity Rules and Guidelines

Before you read through The Annuity Expert, read these rules and guidelines. After speaking with several consumers, I’ve realized that there is a general confusion about how annuities work. I’m writing this in response to these common misconceptions.

If this is your first time here, my background has been training financial advisors and selling annuities for 13 years.

This list of rules will better prepare you for your research and make a better decision for your retirement.

Let’s dive in!

The Rules and Guidelines

1. Annuities may not be a good fit for you, and that is OK. – Read this as an example.
2. Forget everything you know about annuities. It’s inaccurate, dated, or a small piece of a bigger picture.
3. Personal finance gurus, Youtube personalities, and media outlets don’t know sh*t about annuities and the vast majority of their content isn’t for your benefit but for theirs. They want your personal info for:
   • advertising
   • lead generation
   • diverting you to selling something else. (scare tactics)
4. There are 13 types of annuities, not 1 or 2 or 4…..13—each serving a different purpose.
5. You do NOT have to give up control of your money in all annuities. 5 annuity types allow you to have some:
   • control,
   • flexibility,
   • liquidity,
   • a death benefit, or
   • walk-away with your earnings.
6. If you can avoid it, do NOT annuitize your annuity. You will:
   • lose control over your investment,
   • earn minimal interest,
   • the income payments can be much lower, and
   • you might not have a death benefit.
7. There are 3 ways to generate an income stream from an annuity:
   • Annuitization = Giving up control to the insurance company.
   • Lifetime Withdrawals = Providing you with control over your income. It can be turned on or off, even canceled.
   • Penalty-Free Withdrawals: Withdrawing money from the annuity like a savings account.
8. Annuitization is included in ALL annuity types; some offer it as an option, some are mandatory.
9. Most annuities can not lose money from stock market volatility. The exception is variable and index-linked annuities.
10. Fees come out of your pocket. Commissions do not. I do not charge a fee. I make a commission when you buy an annuity.
11. There is a high probability that you have been recommended or have purchased the wrong type of annuity. You could be hurting your retirement. Get a second opinion:
    • By Phone
    • By Email

7 Tips For Researching Annuities

Remember, your research is not about finding just any annuity, but finding the perfect annuity. It’s your retirement.

• Take your time and ask a lot of questions. Never apologize for asking questions.
• Never feel pressured, and when you do, walk away. This includes being harassed by phone calls and emails. Here’s how we work.
• If it sounds too good to be true, it probably is.
• If a Financial Professional uses unofficial materials (Excel spreadsheets, uses a notepad) to recommend an annuity, walk away. Only use official consumer-based materials (brochures and illustrations) from the insurance company being recommended.
• Always ask for the cons of the products recommended.
• Don’t fall for gimmicks, bells, whistles, and personalities.
• Focus on the results.