Are Annuities Intended To Liquidate An Estate?

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Hi there, Stan the Annuity Man.

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America's annuity agents licensed in all

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50 states and Puerto Rico. Weirdest

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topic in a while. Are annuities intended

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to liquidate an estate?

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It's pretty interesting. I accepted the

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challenge from my consultants and

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handlers that choose all of these topics

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for me because of course I don't have

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time for that. I'm flying around. I'm

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meeting with the people, speaking and

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all that stuff, playing my guitar. That

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would be a Flying V Gibson 72.

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Um, that's what I do. But this is an

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interesting topic because there's a lot

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of people out there, including you, just

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like my friend in the life insurance

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business says, one out of one of us is

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going to die. I'm like, thanks, Tony

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Robbins. Um, it's a motivational speech,

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but there there is going to be a lot of

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money changing hands. And so, do do

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annuities play a role in that? Can they

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play a role in that? Should they play a

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role in that? How do they play a role in

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that? I'll cover all of that after this.

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[music]

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So, annuities, liquidating an estate,

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pretty interesting topic. And the more I

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thought about this,

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um, I'm actually doing this, which is

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interesting. I didn't I didn't think of

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the topic at the time, but let me tell

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you how I'm doing this. You know, we

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have my wife and I have been very

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blessed. Started out with nothing. Here

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we are. We have all this stuff. And how

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are we going to distribute that to the

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kiddies now 29 and 27. I always tell

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people that I like to lovingly handcuff

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beneficiaries. you know, we love them,

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but if we give them the lump sum,

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they're going to show up at our funeral

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in a helicopter and then drive off in a

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Lamborghini, all of which they have paid

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cash for. We don't want that. We want to

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at least them making payments on it. So,

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with me personally,

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when I pass away, and stop for a second,

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I know that's jarring for you to even

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think about, and it's it is sad. I mean,

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there'll be there'll be I think there'll

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be like concerts like a like a La Palooa

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thing for me, you know, when I die, a

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band's coming in and all this stuff. But

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when I die,

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um, my daughters 29, 27 at the time of

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this taping, whenever that is, when I

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die, there's going to be an immediate

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annuity purchase for them to to give

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them lifetime income instead of the get

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them getting the lump sum. Now, they're

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going to cuss me out every time that

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that money hits the bank account.

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They'll be like, "I wish you'd give me

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that. I wish you to give me a lump sum."

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But that money is going to come

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uninterrupted and unchanged for the rest

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of their life. So, I'm already doing

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that, you know. So, when I saw it, I'm

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thinking just I was thinking more weird

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legal stuff, but that's what I call

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lovingly handcuffing your beneficiaries.

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I got a call the other day um from a

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gentleman, and this happens

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occasionally. um they had a a special

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needs child that was becoming an adult.

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What do we do when that happens? And my

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comment to him was similar one I had on

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me, which is I said to him, I said, "You

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know, Ed, if if you're hitting on all

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cylinders and you're okay, is everything

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going to be all right with your child?"

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He goes, "Yeah, as long as I'm here and

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I'm functioning, everything's good." I'm

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like, "Great. So, let's not do anything

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now. Let's not buy anything now, but

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let's structure that trust like I did so

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that when you pass, I know that your

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wife doesn't want to do this. It'll

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already be structured for your child to

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get that payment using a lump sum for

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lifetime income so that they can be

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taken care of for the rest of their

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lives. So I think annuitities going

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forward if people use their brain and

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use us to talk about it, they're going

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to choose that because there's I I call

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there's a lot of kids out there that I

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call wandering ambiguities. They they

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mean well, but they just kind of float

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through life. You know, they're living

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under the the umbrella of capitalism

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that you and I both provide uh

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generously, but they really don't know.

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They they just haven't found themselves.

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And there's a lot of people out there.

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You might have three guy called me the

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other day. He goes, "I got three kids.

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Two of them successful as heck. One of

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them can't find the way out of out of a

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door. They they can't open the door.

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They're smart. They went to school. They

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just they just aren't there. They just

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they don't care. They don't get it. They

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don't they're just not in it. For those

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wondering ambiguities that we love, we

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can structure an annuity payment so that

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they're not going to get a hold of a

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lump sum.

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Okay. Think about it for a second.

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Do you really want them to get a lump

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sum? And maybe you do. Maybe maybe

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that's okay with you. For me, you know,

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my daughters, um, you know, I got a

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bunch of MAS, which are fixed rate

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annuities. We're just rolling those and

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rolling those and and kicking the tax

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can down the road. They're going to get

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those, but the but the lump sum that

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they're salivating over, those that's

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going to be in payment form. Th those

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are going to be immediate annuities. And

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you can say, well, what how much are

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they going to make? What's it going to

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pay? What's the guarantee? I don't know

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that until I die because when I die, the

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trust is then triggered in a directional

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legal format to purchase the immediate

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annuities at that time of my death for

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them for their life.

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So, the older are, the higher the

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payment. The younger they are, the lower

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the payment. It's really that simple.

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And we'll shop all carriers like we

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always do for the highest contractual

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guarantee for lifetime income, A+ or

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better.

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And yes, I do have a continuation plan

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at Stan the Annuity Man. We're the

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biggest gorillas out here. Um, we're the

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biggest annuity distributor out here,

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number one agent out here. I'm proud of

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that because we did it the right way. We

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did it by only looking at the

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contractual guarantees of the policy for

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what owner in a policy for what it will

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do, not what it might do. There's been

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no hopes and dreams in unicorns chasing

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butterflies here because that's not what

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annuities do. Annuities are contracts

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issued by life insurance companies. So

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the question of the day is, you know,

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are annuities intended

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to be used to liquidate an estate or

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distribute money from an estate? I don't

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think intended, but I think should be

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considered.

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Every situation's different,

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but there's going to be such a transfer

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of wealth coming forward in in this

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country as the baby boomers die off.

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Um, and a lot of it's going to be, you

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know, a lot of there's going to be some

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annuities already in place, but a lot of

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it's going to be lump sum stuff that the

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kids or whoever is inheriting the money,

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um, they might not want to continue your

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market mavenism. They might not care

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about reverse option strategies or

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butterfly option strategies or they

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might not care about any of that. They

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might just care about lifetime income.

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And for me being kind of a control

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freak, the trust buying the immediate

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annuity for my daughters is controlling

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it from the grave, which I like and you

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might like too because what it also

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tells me is they're never going to go

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without. They're never not going to have

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a lifetime income stream. And who knows

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what's going to happen with social

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security. They could means test it for

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me and you. They could means test it for

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the family. They meaning the government.

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They meaning the politicians. I mean,

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all bets are off with 40 trillion and

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counting on the debt. So, I think it's

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inherent, no pun intended, inherent upon

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us as

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the a personalities of the family, if

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you're watching me and you are one, um,

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to make sure that those guarantees are

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in place, especially from a lifetime

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income standpoint.

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You know, we're hearing a lot of

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politicians and influencers out there

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talking about, you know, I think Elon

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talked about a guaranteed income because

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AI is going to create all this stuff.

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Okay, great. That's fine. But why don't

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we beat him to the punch and go ahead

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and create that for our our loved ones?

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So, are annuities intended to liquidate

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the estate? No. But they should be

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considered.

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And I guess that there are lawyers out

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there that with some big estates that

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annuities would make sense from the

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standpoint of the structure and the

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rigidness of that contract. But that's

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on a case- by case basis. I can't

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comment on that, you know, but I can

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comment on me and you same people, you

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know, grew up with nothing and now we

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have it. What are we going to do? How

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are we going to distribute it? That's

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where annuities come in. Annuities are

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contracts. Annuities are transfer risk

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products. Annuitities solve for

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principal protection and lifetime

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income. But it also solves for peace of

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mind.

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And it also is a very very good legacy

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strategy if you're concerned about some

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of your loved ones needing income in

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perpetuity.

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And that's where they come in. Do me a

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favor, go to my site at

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theanuityman.com. Schedule a call. You

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might get me. Probably will. And if you

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don't get me, demand to get me and

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you'll get me. Also, um, email me

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stantheanuityman.com.

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You can download all of my books on my

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site. Um, you know, this is probably not

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something to say, but I'm looking

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forward to our new site which is coming

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up. So, you know, you look back and go,

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what's he talking about like three years

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ago? But I just had to say that, you

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know, we're doing a new new website

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that's going to be very very interesting

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um and very forward thinking from the

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standpoint of technology, but also under

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the guise of um proconsumer. One last

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thing above my head spinning clock. I

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did a cool video on why people still

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hate annuities and they do and I don't

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blame them because they're sold

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improperly and they're explained

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incorrectly and they're overhyped and

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pushed by people who don't have the uh

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acumen or the background or the

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capability of explaining them. They're

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just selling and that's not good because

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people are making bad bad mistakes. But

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I've got solutions for them and and and

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what I'll talk to you about in that

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video is some things to watch out for so

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you can protect yourself. All right, my

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name is Stan the Annuity Man. Appreciate

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you hanging in there with me.