Peel and Play Annuities: Shootin’ It Straight With Stan

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Welcome to shooting it straight with

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Stan. I'm your host Stan the annuity

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man. America's annuity agent licensed in

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all 50 states. Today's topic is peel and

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play annuities. Wait a minute, Stan.

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Peel and play like peeling an orange,

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peeling a banana, you know, like peeling

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off interest. Yes, that's what I'm

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talking about. One of the big

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misconceptions about annuities, there's

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a bunch, is that all annuities are

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income annuities. They're lifetime

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income. We're going to use lifetime

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income pension products. There are four

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different types of annuities that

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provide lifetime income. But there are a

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lot of people out there that say, "I

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don't really need lifetime income. I

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just want to protect the principal.

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I don't want to lose any money. Stan the

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annuity man. I just want to protect the

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principal. I don't want to pay any fees

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even though I know you deserve what you

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earn." Stan the annuity man. By the way,

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all commissions are built into

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annuities. We're paid by the annuity

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company reserves. It doesn't come out of

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your amount. is a net transaction to

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you. But a lot of people go, I just I

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just want to kind of lock and load and

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not worry about it and take out the

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interest if I want. Is there such a

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thing, Stan the Annuity Man, kind of

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like a CD? I'd like a CD. Kind of like

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that. Well, there is that product. It's

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called a multi-year

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guarantee annuity. Acronym MA YA.

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Had a guy on the phone the other day. He

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goes, I'm interested in one of them

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megas. I'm like, what sir? Uh, it's a MA

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multi-year guarantee annuity. It

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functions and acts and works like a CD.

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Okay? Banks issue CDs. Life insurance

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companies issue migas. Don't make it any

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more difficult than that, please. People

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like, well, I what's the catch? It's no

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catch. You, if you go to my site at

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theanuityman.com, we have a live feed of

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the best migrates on the planet. We show

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every single carrier out there. That

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doesn't mean we recommend them, but we

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want you to see the full gamut of all

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the interest rates. It's a live feed.

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Um, and the durations can go one year,

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two year, three year, four year, 5

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years, six year, seven year, all the way

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out to 10 and there's even 15 and 20

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years, but most of the the longest term

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is a 10year MA. What does that mean,

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Stan? That means that you can lock in

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that interest rate to never go up or

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down. Going to be the same for that 10

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consecutive years. That's a peeland play

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annuity. That's a MA. Now, Miggas can be

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used in all types of accounts.

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Non-qualified checking account type

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accounts, traditional IRA accounts. You

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can take a 401k and roll it into an IRA

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and get a MIGA. You can put it inside of

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a Roth IRA if you want to as well. But

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let's talk about if you used it outside

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of an IRA like like a um a checking

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account, money market type account,

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non-qualified as they say in the

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business. The difference between a CD

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and a MIGA doesn't make it better, but

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here's the difference. A MIGA's interest

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rate can grow and compound tax deferred,

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whereas with a CD, you have to pay taxes

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on the interest with typically 99% of

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them issued. Okay? Some of them are like

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I'm not going to get into it, but

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anyway, you know what I'm saying. Some

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of them you can they lock in after five

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years, whatever. But but a lot of those

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you still have to pay taxes on the

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implied acred interest. But with Migas,

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you can you can kick the tax can down

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the road or if you're from Minnesota and

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um Wisconsin, I'll make you feel a bit

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more comfortable. You can push the tax

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puck down the ice for as long as you

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want in a nonirra account. Someone asked

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me the other day, "So what you're

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saying, son, is that I could roll it and

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roll it and roll it and roll it and roll

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it to another MA in perpetuity." I said,

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"Great word." In perpetuity. Yes. this

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my kids problem. Yes, absolutely. My two

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daughters, 29 and 27 at the time of this

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taping, they're going to have a MA tax

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issue down the road because I am one of

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the larger holders of MAS in the world.

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Um, yes, that's how it works. So, let's

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just say, hey, Stan, I want to do a a MA

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ladder. I want to do by a threeyear, a

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5year, a sevenyear, or 10 year. Okay,

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great. We'd split it up between carriers

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that I'd recommend. and you would tell

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me, I want to make sure I want to take

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interest out. Or you might say, I don't

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care if I get interest out or give me

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the highest rate with or without

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interest. We'll shop for you. You can go

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to my site at the annuity man and shop

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for yourself. But let's just say you

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want interest. That's appeal and play.

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So let's just say you said, Stan, here's

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$400,000. We do $100,000 in the

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three-year, 100,000 in the 5year,

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100,000 in the sevenyear, 100,000 in the

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10ear. And I'm going to take interest

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out starting month one. That's what I

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want, Stan. I don't want to peel and

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play. I want to peel and play. Ma, so

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you go those terms. You're going to get

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the interest. You're never going to

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touch the principal. You're never ever

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going to touch the principal.

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After year three, we call you up and

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say, "Hey, you know, 60 days before it

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matures, what do you want to do? I want

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to roll it." Okay, we roll it. At the

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5year, same thing. What do you want to

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do? I want to roll it. We're going to

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roll it. We'll continue the ladder. But

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the bottom line is you're never going to

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touch the 400. You're just going to peel

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off the interest.

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That's a peel and play annuity. Now,

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every single person except me, I mean,

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and I mean this that's in the annuity

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business, every single one is going to

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say, "Don't do Stan's migot. Do this

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index annuity with an upfront bonus

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market upside with no downside."

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That's not guaranteed. Okay? I deal in

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guarantees. All right? We use index

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annuities to deliver income writers for

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future income. But that's not what we're

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talking about right now. Index annuities

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are CD products, but if you're going to

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do a peeland play annuity, it's a MA.

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It's never an index annuity unless you

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want to buy your agent a car with the

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with the commissions. I need you to

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listen to me. Been doing this forever.

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I'm the top agent in the country. Manage

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billions of dollars of annuities.

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Okay? Peel and play annuities come down

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to one type. It's a MIGA. It's not

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indexed.

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Don't believe me? Try it and then you're

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going to be disappointed and wish you

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would have listened to me

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because there's no guarantee of the

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return with an index new. There's great

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promises. There's neat back tested

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returns, hypotheticals, theoreticals.

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Unicorns chasing the butterflies,

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but they're not guarantees. If you're

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going to do peel and play annuities,

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migas are contractual. The yield is

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contractual for the duration that you

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lock in.

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And then we're going to choose the one.

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If you say, "I want peel and play."

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We're going to choose the ones that you

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can take out interest or up to 10%. Some

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of them do one or the other. Some of

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them do both. So that you can just peel

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off that interest. Peel and play. Peel

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and play. Peel and play.

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Warren Buffett had two rules. Rule

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number one, never lose money. Rule

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number two, never forget rule number

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one.

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He would love peel and play annuities. I

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know he's 99 or something like that, but

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he would love it because the principal

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principal is protected. You pay

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absolutely no fees. There's no moving

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parts. There's no market attachments.

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There's no writers. There's no nothing.

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It's a guaranteed interest rate for a

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specific period of time of which you can

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peel and play.

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So, think about it. You have a half

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million dollars or whatever it is. Take

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out the interest. At the end of the

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term, you have a half million dollars.

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Sound pretty good? Uhhuh. Well, Stan,

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what if I what if I two years in don't

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want to take interest out anymore? Then

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tell us. We'll shut off that spot, as

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they say in the South, and then it's

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just going to grow and compound tax

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deferred.

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There's a lot of you out there that have

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enough money that you could just live

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off the interest. Can I get an annuity?

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Amen. Amen.

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If that's you, then I would encourage

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you to look at the peel and play migas

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because you don't need to annuitize.

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Some of you don't. Some of you don't

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need lifetime income. Some of you have

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accumulated enough assets that you can

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live off the interest. And I know you

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say, "What's the interest rates going to

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be 17 years from now?" I don't know. You

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don't know. Live for the day. Fly first

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class or your kids will.

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But a lot of you don't need to disrupt

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anything. You just need to hit what I

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call baseball analogy,

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bunt singles.

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A MA peel and play annuity is a bunt

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single. And that's okay. You're still on

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base. You just didn't swing for the

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fences. You just you just got down to

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first base. That's great. You have

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enough money that it should always be

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bunt singles. And from a legacy

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standpoint, peel off the interest and

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the principle is still there. Hello. I'm

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gonna tell you right now, my wife, the

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lovely Christine, she loves it. you

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know, she's for whatever reason recently

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she's brought up my death a lot. Like,

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you know, um, remind me about like when

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you die, what I'm going to get. I'm

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like, I don't know how that came up, but

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yeah, with the MA portion of what we

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got, you're going to get the principal

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and and and the whatever interest we

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haven't taken out, you get that, too.

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You get it and it compounds. Well, I

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like that. You better.

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But peel and play is so so so so simple.

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I always say to people, if you can't

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explain the annuity that you're thinking

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about buying to a 9-year-old, no offense

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to 9year-olds,

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then don't buy it.

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If you cannot explain it, don't buy it.

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If it's not simple, don't bl don't buy

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it. If it's not basic, don't buy it.

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If you can't turn to your spouse, and

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most spouses, there's with most couples,

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there's one of you that care could care

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less about um finances. That's my wife.

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She just wants to go see the kids, the

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grandkids, and travel and do the France

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thing and all that stuff. If I can't

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explain to her in two sentences, I

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shouldn't be buying it.

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So, peel and play annuities. Those are

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multi-year guarantee annuities. very

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very simple, very very efficient and

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very very contractual.

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All right, shoot me an email

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stantheanuityman.com.

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Go to my site at theanuityman.com.

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That's shooting it straight with Stan

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and a good one. See you next time.