Replay: Live Q&A - MAXIMIZING YOUR RETIREMENT INCOME IN UNCERTAIN TIMES - September 2022

0:00 Intro

00:01

[Music] thank you [Music] thank you hi there Stan the annuity man annuity Man live welcome to the event so glad you joined us we have a ton of people online if you've not done this before the way it works is I stay online as long as you ask questions so the second

01:03

there's a lull we're out of here no I'm kidding I'm really not kidding but I'm glad that you joined us pretty good topic today but the top really the floor is yours I'm going to um I'm going to answer the questions one by one factually and brutally as I

01:18

always do and then we're going to uh you know cover some other topics as well just a little bit of a soapbox here um where you know today's Topic's about maximizing income in these volatile times Etc obviously annuities um were put on the planet for Lifetime

01:33

income you can go to my site producer just pull up my site you can go to my site if you're not familiar with this you can run there's the producer you saw her face um if you hit that middle thing use the calculators you can hit the calculator button and go to all of our calculators

01:49

Speedy a q like we're the only ones on the planet with an income Rider calculator you can run reverse engineer quotes lump sum quotes Etc 24 7 365 no one's going to call you um you know you can go to the live race pull up a live rate feed real quick this is our myga feed

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um right now the most popular thing on the planet and we'll discuss that but you can put in your state filter your state and then choose a state and then you know California and there's there's let's do yeah five years and there it is okay so and it'll list all of the

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specifics there so you know we have everything for you from you know quoting quoting all carriers looking for the highest contractual guarantee if you haven't gotten the books we're on our last run of books we've printed the last round are never to be printed again because

02:38

the Consultants say it costs too much and they don't like the gold foil mailers that I send them in and uh so you know this is it if you haven't gotten the books you better get them and um just you know free no obligation we ship them to you via you via your UPS

02:53

shipping address and I would encourage you to schedule a call with me as well um or one of my associates most of the time well not most the time now but majority of the time you're going to get me um we're adding people to the Mothership here in Las Vegas Nevada that's where

03:06

I'm today typically I'm in the Florida office but now I'm I'm spending a little bit more time in Las Vegas which is great that's where our main office is let's talk about retirement income and kind of where we are right now in the annuity space um there are four different types of

03:25

annuities that provide lifetime income in other words as long as you're breathing single premium immediate annuities deferred income annuities qualified longevity annuity contracts and income Riders attached to either variable or index we only we only do fix

03:38

so we don't sell the variable and the reason also too is the the writers attached to the indexed annuities are typically higher contractually and those are lifetime incomes people say what's the ROI I don't know that until you die um those are Lock and Load type products

03:51

okay so you're as long as you're breathing they're going to pay but we're at a point in time now as we all know with with interest rates Rising that there is a possibility that you don't have to annuitize or you don't have to buy a package product you don't

04:08

have to lock in you can actually buy a myga which is the annuity industry version of a CD and just peel off the interest and never touch the principle hello so when you talk to me I'm going to ask you two questions what do you want the money to contractually

04:24

do and when do you want those contractual guarantees to start and if you say I need income and you said I need it now I'm gonna say okay tell me the Gap and if we can if we can solve for that Gap that you need by never touching the principle and just

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pull just peeling off the interest then that's what we're going to do meaning that I talked to a person the other day and I said hey here's the thing if we need to buy an immediate annuity and annuitize for Lifetime income we will but it's the last resort at this

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point let me give you an example no one knows where interest rates are going to go but let's just say they go way back down we might not be able to peel off interest from micas to create the lifetime income stream which means they might Force our hand to buy an immediate

05:08

annuity at that time but let's talk about interest rates because everyone's like well well you know the fed's this and that and everyone's an interest rate analyst let me go through once again how the annuity companies look at the fed and Mr Powell

05:20

Michelle and whoever's in charge at that point in time it's if you look at a stool think of a stool that you sit on there's five legs of that stool okay the one of those legs the fat they look at the fat and and but it doesn't it's only one of the five the

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other ones are life insurance companies they issue annuities so they have lifetime income guarantee products like spsds and culax and income riders that are profit centers that they look at the actual life insurance and you know remember annuity company life insurance

05:50

companies know when we're going to die so that's the reason they have the big buildings okay then they have Legacy Bond portfolios and I call them like Jimmy Carter bonds and Barack Obama bonds and George Bush they got Bonds in there that are profit centers as well

06:03

but the and those are the four so you know going back you got I'm gonna do the fifth one I'm saving the fifth one for Less so you've got um the fed and what everyone's fixated on it they shouldn't be because it's such a small portion at this point in time then you have life insurance

06:18

products you have lifetime income products you have Legacy Bond portfolios but here's the one that everyone needs to think to realize that exist and really drives a lot of the price in its capacity and what I mean by that life insurance companies that issue

06:31

annuities they have specific levels of Premium that they're trying to raise when they issue a product whether it's a mica or spear there's tranches for lack of a better phrase and once they hit that and they don't tell us what it is but once they hit that they'll lower

06:45

interest rates give you an example last time Mr Powell raised rates we had a couple of companies actually lower rates that same week and you're like wait a minute that doesn't make any sense it does it's not linear so if pal at the time of this this uh taping and this show

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um if Mr Powell raises rates in September that doesn't mean automatically that annuity companies life insurance companies that issue annuities are going to follow that linear and just statically it's not some will some won't some will lower so it depends on the capacity at this point in

07:20

time and with Ten Thousand Eleven thousand baby members in age 65 every single day that's a demographic tidal wave of money and premium premium in southern means means dollars that's coming in so put yourself in the life insurance company's seat for a second and you're the CEO of

07:37

XYZ life insurance company that issue annuities whether it's migrants or whatever Spears whatever and so much money is coming in would you raise interest rates if power raised I mean if if you're bringing in enough money you're hitting your goals from the same point of the tranches and

07:52

the capacity levels there's no incentive so does that mean some you know when Powell raises rates some might some companies might break out and raise interest rate yes and that's the reason I always say annuities are commodity products and that you have to shop all

08:06

carriers for the highest contractual guarantees okay but some will some won't but it's not it's not like well the fed's gonna raise rage so I'm going to wait you can't time it and for a lot of people that were waiting for the FED to raise rates in

08:20

September they've seen rates in the mica space actually go down so enough about that we've got tons of questions and the way I'm going to do this I'm going to read the question I'm going to answer it if it's not answerable I'll I won't Bluff so by the way no tax questions if

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you don't mind uh we're not CPS or tax lawyers those are the only people that can legally do that and the other thing too you know we are here in the mothership office and it's a big one um in Las Vegas Nevada love Las Vegas uh but you know we are going through

08:49

some glitches from the sample I'm just set up so if it does freeze it's not like I'm dancing um you know at the Disco you know you just hang in there with us all right so first question put it up

9:00Why cant I just call up the company

09:00

it's from Daryl hello Stan Chester Chester is the my fictitious person that um you know I always say well Chester says this okay Chester why can't I just call up the company for example he gives him ocean views a my company we represent everybody else and just buy a

09:17

mica direct from them without having to go through a licensed agent like you stay in the annuity man very good question um at this point in time just law the legal requirements to buy an annuity there has to be a licensed agent uh in the middle from a suitability standpoint an

09:33

appropriate standpoint just to make sure that you're not putting too much money in it's a property you're solving it for the contractual goals um I do think in the future and I don't know what future means I would probably say my my director of operation is probably

09:48

going to disagree with me on this but five to seven years I think there's a possibility of it going to more of a direct model I I hope it does the way that I'm building my company is for that day for that day that you can buy it direct we're going to have that portal

10:04

where you can just get all the information uh get all of the the videos and the education and then be able to buy a direct now the the evil secret in the in the annuity business is that if the annuity companies could get rid of the agents they would in a second

10:20

because the agent Army is nothing more than a than a liability from a sales standpoint and how they present products if you've ever been to a bad chicken dinner seminar let me just tell you something if the CEO of that company was sitting in the bad chicken dinner

10:35

seminar of a lot of these people that are fraudulently pitching say index annuities they'd have a heart attack so they would love to get rid of the agents but at this point in time that's not going to happen in the near future so you're gonna have to hold your nose

10:47

and work with me which is okay you know I have the best team in the business and by the way just if you purchase an annuity with us it's concierge first class service we're not going to plot paperwork down in front of you we're gonna you're gonna get on a confidential

11:00

call for 30 minutes we're not going to share sell or keep any of that information we have to ask legally by the carrier and we're going to take it from start to finish whether it's Ira Roth IRA or non-ira so that's still and that's my uh promotion for my team that is fantastic

11:15

next question

11:17The Medicare Podcast

11:18

hi Stan really enjoy the Medicare podcast with Ellie Saul if you haven't seen my I have a fun with annuities podcast that comes out every Tuesday I have a celebrity guest on and you know they they're I choose people that are that are very good at what they do and

11:33

specialist and what he's referring to I check my ZIP code you've probably seen that that video with JJ Walker or Joe Namath where it says hey check your ZIP code which is could be the dumbest thing I've ever seen but of course everyone with the ZIP code qualifies it's just

11:48

what that is is a very as Ellie put it it's a very unique way and kind of kind of underhanded to get your name into an opt-in list so that they can sell those leads to people and then they're going to pound you into Oblivion until you buy something so just be careful out there

12:06

um the thoughts on the do-it-yourself becoming is popping up on Facebook foreign just be careful do your homework remember with annuities or any type of financial products there's never urgency to buy the urgency is for you to fully understand if you can't explain it to a

12:24

nine-year-old never buy it no offense to nine-year-olds and the best thing I could ever tell you and and I need you to just to ever remember this all the time because you're getting ready to get inundated with ads that sound too good to be true if it sounds too good to be true and it

12:37

looks good too good to be true in The Proposal shows too good to be true it is every single time next question

12:45Changing the date income starts

12:45

assuming my Dia deferred income annuity is what he's talking about permits me to change the date income starts will the new dates income payout be recalculated based on the original rate yes the the answer is yes um on that if if my director of operations who's who's more detailed

13:03

about these type of things can if she wants to weigh in you can weigh in if you want to you are correct it's based on the original rate it's based on the original rate just remember this um the older you are the higher the payment it's eerily similar

13:16

to Social Security because that is an annuity so that what you're doing is if if you push the payments out to a later date then there's less projected payments which means the payments will be higher so it's it's just like if you decided to take Social Security at 65 or

13:32

Social Security is 70 you know it's going to be higher at 70 because your life expectancy is less but also remember too you have to calculate how long it's going to take to make up for those missed payments there's no good answers just bad sales pitches right nod your head next question

13:46Why do I have cash refunds

13:46

uh why do Diaz have with cash refunds often have higher monthly power than without a really good question Joel and this is kind of a moment in time what he's referring to is if you go to our site and you run spias or Diaz right now and we'll show you life only in life with

14:01

cash refund and life only means when when your Learjet hits the mountain money goes poof you know it's it's what everybody thinks an annuity is whoa never buy an annuity because nudity company keeps the money that's life only but that's one of 40 ways to do it but a

14:15

very popular way to do it is life with cash refund and what that means it's going to pay for us your life but when you die or if it's joint when the second spouse dies whatever money is left in the account goes to the list of beneficiaries meaning that the annuity

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company never keeps a penny even though they're on the contractual hook to pay as long as you're breathing now now Common Sense would tell you that life only should be a higher payout than life with cash refund but right now there are a couple of carriers that I guess are

14:43

trying to fill up their tranches for cash refund and that the cash refund is actually higher than life only which doesn't happen it's a moment in time it's an annuity solar eclipse but Joel your instincts were right it shouldn't be that it should be the

14:58

reverse but right now the you know there are companies very good A Plus rated companies that are offering a higher contractual guarantee payout on life with cash refund than life only so yeah it happens that's the reason we quote all carriers

15:12What annuities are available for simple IRA

15:13

next question I'm sorry what annuities are available for simple IRAs and well qlax are its own category uh let's talk about that quickly culax are um you know they they can be used with qualified accounts of their deferred income annuity but it can only be used

15:31

in IRAs but with your simple IRA most of the time and you'd have to you'd have to check with your CPA or whoever's issuing that simple ra but most of the time all annuity types can be placed inside of a simple IRA just like they can be placed inside of a traditional IRA just

15:50

remember that Ira taxation rules apply so you're not going to get double tax referral or things like that it's if it's a simple IRA or traditional IRA when you take money out whatever money you take out is going to be tax ordinary income levels go ahead next question

16:05How many insurance companies default on Miga contracts

16:06

how many insurance companies default on Miga contracts per year haven't seen any in a long time uh Bob is it very rare yes it's very rare are there any stats available on the internet doubt it I doubt if there's industry stats on that um there's two that I can remember in my

16:24

director of operations can weigh in if she wants to I'm not going to mention company names because I don't um in 2008 there was a b double plus company that or B plus company that was absorbed by the state guarantee fund and immediately purchased by a larger

16:40

company which is typically what happens there's a lot of oversight within the industry from the standpoint of just making sure the Golden Goose isn't gourd right I mean these are confidence products and then I think about five years ago um the state of North Carolina State

16:54

guarantee fund absorbed a mica company I think would there be plus rated company and the person involved from what we know was a multi-multi-multi-billionaire um so I think that what they're doing is liquidating his assets and paying everybody back but those are the two that come up

17:12

uh to us to my mind and I've been you know I've been doing this for a long long time so yeah two in the last since 2008 that I know of um that that we are aware of because we're looking at B plus or better from the standpoint of mind because remember

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with migas we're dating the company you know we're not marrying them for Lifetime income we're marrying the company we're looking at probably A Plus or better and a lot of 98 of the time unless I tell you otherwise and then with with my guys we're dating them for

17:39

the duration whether it's two year three or four year five years so it can be a B plus b double Plus or a minus company in the state guarantee funds do function pretty well they've never really been tested um but most of the time annuity companies the bigger ones come in and

17:53

buy up Hook Line and Sinker those companies that have are in distress but like I said there's only been two and it looks you know the first one 2008 everyone was made whole and then this looks like the last one five years ago it's going to be the same thing next question

18:10Interest rates are secondary

18:10

stay in the annuity man you always say interest rates are secondary the mouse paid on annuity when I say that I'm talking about lifetime income products like um single premium immediate annuities deferred income annuities uh qualified as long as you have any annuity

18:24

contracts income Riders those are primarily based on your life expectancy interest rates do play a secondary role however a myga a CD type annuity that's 100 um they're looking at interest rates even though the five legs of the stool apply like when I talked about earlier

18:40

but that is they're looking directly at interest rates and the other four legs of the stool to price it um it says here but the recent rate increases are off the charts High not sure I agree with that how they affected payouts we've seen some payouts kind of

18:55

go up but again it's life expectancy based and the other thing too remember this just as a teachable moment companies are trying to fill tranches I need you to think about your portfolio uh non-non-annuity you have you have small cap mid cap large cap International as an example for an

19:13

annuity company and they have an immediate annuity um portfolio they have 70 year olds and 72 year olds and 75 year olds and 77 year olds and 62 year olds and 66 year olds remember they know when we're going to die that's the reason they have the big buildings for a reason so they're

19:28

trying to fill up those tranches and they will make the guarantees attractive when they need to fill up that tranche so it just kind of depends on your age and that's the reason it's so so so important and this is why we do it is we quote all carriers for the highest

19:43

contractual guarantee because it changes like a gallon of milk every seven to ten days and some companies are trying to attract your age range at the time you're quoting and some are not okay

19:54Payout yield

19:54

next Shannon how does the payout yield get calculated not sure what product type you're talking about but just I think I kind of covered it in the last um question payout yield let's talk about it from the standpoint of Lifetime income like an immediate annuity it's

20:13

life expectancy and it's a combination of life expectancy and interest rates so when you get a a lifetime income stream from an immediate annuity It's a combination a return of principle plus interest we can show you that on the quotes if you run it non-ira

20:26

non-qualified it will strip out and show you the interest of that lifetime income payout and then migas are right now at the time of this taping you can peel off interest to fill those gaps and obviously that's very basic math if there's some there's a mica that's

20:42

yielding four and a half percent and you put a hundred thousand dollars in that's four thousand five hundred dollars a year you're going to get an interest and never touch the principal the other thing that I want you to be aware of and be very very careful of

20:52

yes you know we are the leaders out here in the direct consumer space we have some people that are trying to be standing new to me which is somewhat comical if you think about it but they put on their sites like spia 6.7 yield or so that is so misleading it's almost fraudulent and

21:10

they need to be ashamed of themselves when you see that for a lifetime income stream like well I bought this immediate annuities give me 7.1 that is a that is a numerical reflection of your life expectancy that's not yield remember with all lifetime income products you're

21:24

getting your money back with interest and when the account goes to zero the annuity company is still contractually obligated to pay you for as long as you're breathing we have thousands of clients that have zero in the account they're still getting um a lifetime income stream that's the

21:38

reason I say there's no Roi until you die next question

21:43Treasury Bonds

21:44

instead of a mic with treasury bonds be acceptable yeah sure treasuries are great go to you know treasury direct.gov treasury direct.gov for I bonds and they're I think they're really nine plus percent I mean you're the only negative to that is uh they just don't allow you to put a

21:60

bunch of money in there but I just did a I have a series of videos on my YouTube site called shooting it straight withstanding go to my site at the annuityman.com and look at them as well and I did a recent one called ibom no-brainer and no I don't sell bronze I

22:12

don't get paid online but I like Albans and treasuries I like it listen treasuries um if you talk about save money that's the safest money on the planet and now don't go down the political rabbit hole with me on this please but the reason it's the safest money on the planet is

22:27

the our beloved government can tax and or confiscate our money however you want to frame that to to back up the guarantees so treasuries that's the safest money on the planet so if you like treasuries go for it yeah

22:40Interest Rates

22:40

I'm considering the market the FED is expected to raise interest rates again would it be wise to wait I've covered this again but let me do it again quickly um interest rates the FED what Mr Powell is doing is about 15 to 20 percent of the pricing of Omega

22:55

um but with that being said nobody in the world knows what rates are going to do and how rates will affect migas um you might have some companies break out you might have some that don't I'm going to encourage you not to time it because no one can and if I can't I've

23:10

been doing this for three decades then no one can because I'm Stan the annuity man um so if I'm saying don't then don't but if your gut feeling instinct tells you to wait then wait um as I always say there's never an urgency to buy an annuity the urgency is

23:23

for you to feel comfortable with what you're buying know the limitations benefits um of it and then go from there so if you're if you're gonna instincts telling you wait then wait

23:33brokered CDs

23:33

Wendy comparison my guess brokered CDs brokered CDs you know there's two types of CDs there's Bank CDs and brokered CDs brokered CDs means that you go to Merrill Lynch or Morgan Stanley my previous employer Morgan Morgan Stanley and they have CDs that are backed up by

23:50

sipc insurance which is good um I mean it's six and one half does the other it's the same product except for the fact that in a non-ira account non-qualified non-ira like a checking account um the migas interest will grow tax deferred whereas with CDs you have to

24:09

pay taxes on the interest does not make migas better than CDs let's get that very straight I think that if you won the game I did a video recently called if you've won the game why are you still playing meaning that if you have enough money you can just peel off the interest never touch

24:23

the principal and the way to do that is a combination of myga's brokered CDs and Bank CDs okay

24:33best time to buy an index annuity

24:33

Ellie Saul doing some self-promotion here um Ellie shame on you um is there any she's the one that was on my podcast with um for Medicare I thought I gave her enough permission but I guess not here we go is there any truth to people saying the

24:50

best time for an index annuity FIA since starting points are low or is this chicken dinner hype yes what what she's referring to is this is the time to buy an indexed annuity because we're at Market list first of all no one knows of where Market lives but what's really

25:05

happening out there which is heinous and horrific misleading fraudulent and should be a misdemeanor is when an agent says to you you've lost all this money in the market but this annuity this index annuity offers an upfront bonus and we can get it all back

25:20

that person should lose their license immediately period end of story my opinion because most of the time either that that bonus is going to the income account which is phony funny money it's it's a phantom account that can only be used for income or it's vested just

25:38

remember first of all I call upfront bonuses candy for the stupid because if you think there's an a philanthropist at an annuity come you see a running the annuity company and saying you know what I'm going to give money away there's a hundred pennies and the dollar remember

25:53

that upfront bonuses don't mean a thing to us when we quote income riders for example we're quoting ones with in abovefront bonuses and without upfront bonuses agents that lead a sales pitch with upfront bonuses are looking for stupid people and non-sophisticated people or

26:13

high IQ people that think they're smarter than everyone else please don't fall for that I mean upfront bonus is part of the overall contractual guarantee nothing special at all and if we're looking at contractual guarantees we're looking at both both

26:28

for like say income Riders attached to index annuities we're looking for upfront bonuses and non-up run bonuses all of them hey spoiler alert typically when we run these quotes the ones with the bonuses are not the highest contractual guarantee they have to take

26:44

something away from the policy they're giving you the bonus here's the other thing I need you to realize if anyone and I need to just lean in if anyone says that they have an index annuity that adjusts for inflation increases your income with inflation please don't

26:59

be the sucker at the table annuity companies don't give anything away when you want your income to increase typically the annuity company drastically lowers the initial payment say around 30 percent to make up for that increase and if you run the math

27:14

numbers you'll never make up for it I know in a perfect world that you want income to increase like your Social Security just stop chasing it because someone's going to sell it to you and someone's going to tell you they have it and they do not have it now one more thing about

27:29

inflation I was talking to my director of operations about this before we even got on the air if you have enough money if you have five hundred thousand seven hundred thousand million dollars or whatever and you talk to me about solving for inflation and you're worried about inflation

27:44

I'm going to I'm going to go off professionally there are over 65 percent of adults have less than ten thousand dollars to their name inflation's hitting them hard if you have a million dollars and you're worried about inflation get over yourself get over yourself I came from

28:03

poor North Carolina Rural America growing up on a farm listen I've been without I've been there but when my wife comes back and says have you seen gas prices egg prices bread probably I'm like buy the damn gas eggs and bread stop complaining we're blessed we we've

28:20

made it we've worked hard but for all you people out there that have millions of dollars and worried about inflation and trying to solve for it and staying up at night and worrying about it turn off cable television please just turn it off stop watching CNBC stop watching Fox

28:33

Business stop just stop you're there it's not going to affect you your lifestyle you're going to be fine all right off my sub box and I curse my apologies what do you

28:43variable annuities

28:45

what what do you if you already have person variability what's your advice you know we'll look at that I have nothing against variable annuities we just don't sell anything that has the potential to go down in value and also too my opinion only that if you want to buy mutual funds go

28:60

buy mutual funds you don't have to pay an average of three percent Annual fees for life of policy to do that but if you've bought a variable annuity and an income rider was attached then 99 of the time you're going to have to stay in that variable annuity to

29:14

um you know to get the value out of the policy because the income Rider is a phantom account that can all be used for Lifetime income calculations but variable annuities nothing wrong with that I mean there are some good uh no load variable annuities out there no

29:27

load meaning no fees and no commissions and 100 liquidity so that you can get tax deferred uh growth using mutual funds and by the way that's when they were 1954 1955 argument on whenever that was when Tia came out with me with variable annuities that's the reason

29:44

they came out was for tax deferred growth so nothing wrong with them go ahead

29:50CDs vs migas

29:50

the spread between CD rates and migrates is shrinking it may shrink more at the FED should I buy a mic instead of a CD in this environment not a good answer to that just bad sales pitches right I don't know good question um I think CDs the way that I tell

30:04

people to look at CDs and migas is typically the three-year my gut three year four year five-year Mica is higher than the three year 40 or five year CD but the one year two year CD is is pretty darn competitive so if you're putting together a ladder why not do a

30:19

combination of the two also two you might want to look at if it's in a non-ira setting migas do allow tax deferred growth of that interest rate that didn't make them better than CDs but you know CDs people say well which one's better well CDs are safer

30:36

um they're backed by FDIC s stands for federal s f stands we're going to freaking come get your money come get the money to pay these people back um whether it's taxation or you know whatever they do to get the money but the point is um you know CDs are safer yes uh uh

30:54

migas have a state guarantee fund that that you know never been tested but when you buy Migos you're buying the claims paying ability of that carrier and we're dating them we're buying them for the duration so I'm looking at the claims pain ability for that duration but you

31:06

know listen to your gut instinct if you feel more comfortable with CDs then do it you know um I know the annuity gods are looking down upon me and wanting to rip the blue hat off my head but you know as my grandfather told me and you've heard me say this before if you

31:19

tell the truth you have to remember anything that is the truth yes we want you as a client but you know you're rational and smart that's why you're on this this uh recording and this live event and I'm going to shoot it straight I'm not going to be your friend but you're

31:32

going to get the best advice ever and that advice might be by a CD okay

31:37What happens when I die

31:38

you mentioned off for concierge service which is great but what happens when I die would you stop Mark please I'm not predicting anything with my leaders at his amount I don't have Learjet um I'm going to be around for a while I'm 58 I know you're saying Stan there's

31:53

no way you look vibrant you look 40. you're right but the problem with this camera that we just got the new one it shows the wrinkles right yeah um we are the biggest I mean we are the biggest and the baddest out here as they say on the street but um and I'm proud

32:08

of that because it didn't start like that it was just me and my wife and and it grew and now we have multiple offices and and great employees but there is a as all good business plans have a continuation plan in case something happens to me um obviously there's a lot of content

32:25

books and videos and podcasts and plays to educate people ongoing from a Evergreen standpoint Evergreen media is going to be on the internet forever um and also there's some really good I've had hired some really good Consultants to put in the last few years

32:40

put some things in place so that if I pass away um you know it's it's going to continue in the concierge service is going to continue and you're going to have probably smarter people on the phone with you than me but I will say this that I do have a lot of life insurance

32:55

on me I mean a lot now if I show up like randomly dead and you see my my daughters like drive like speeding down the highway and dual rent Lamborghinis you might want to say wait a minute that looks fishy no I couldn't say they're 25 and 23. um but I hope to be around there's no

33:12

plans I mean we're just taking it a day at a time and what I would encourage you to do too and kova did this to me it kind of woke me up I've had covered three times fortunately you know it wasn't as severe as most and God bless those people but it woke me up to

33:27

hey let's live for the day there's no U-Hauls behind hearses you know stop obsessing about all this stuff and and that led to a couple of the things like it's okay to miss out video and if you've won the game why are you still playing video you know we've been told

33:40

our whole lives got to go to college got to buy a house gotta gotta gotta gotta you know you got to be in the markets right do you do you really um you know personally I don't I'm not in the markets I can live off the interest from my desk all day long maybe

33:54

you can too or maybe it's a combination of immediate annuities and peeling off interest from migas and CDs but my question to you is why unless you really like it and that's okay the ups and downs of the markets and trying to figure it out and gambling on

34:09

the it's gambling I mean it's calculated gambling but do you really need to do that I mean think about that for a second chapter two of your life is chapter two of your life worrying about Market gyrations it's not going to be chapter two of my life let me tell you that I'm gonna I'm

34:25

gonna have fixed I'm gonna have guaranteed income I'm gonna peel off interest and I'm gonna know exactly what I'm gonna get and I don't really care if I miss the next Tesla or if I miss the next crypto or if I miss the next apple I don't care because I always say this

34:39

and maybe you disagree or agree but I've been there I worked at World Trade 2 for Morgan Stanley I worked for UBS I managed a lot of money in my life being in the markets just think about this you'll giggle when I say it being in the markets is like surfing beside a cruise ship

34:56

sometimes you're going to catch away but a lot of times you're going to get sucked under the boat and in these markets with institutions trading 24 7 365 and then they let us peons in 9 30 to 4. please explain to me how that's fair I don't know that's just my southernism

35:13

so next question

35:14IRA Annuity or Roth Annuity

35:14

can you cash in your IRA annuity or Roth annuity well when you first of all let's let's just talk about when you say Ira annuity remember there's many types of annuities there's not something called an IRA annuity you can't call me up and say Stan I want to buy an IRA annuity my

35:31

next question will be what type are you talking about or Roth annuity I don't know what you're talking about um if you're talking about my gut so I don't want people to think that those products exist they don't it's an annuity inside of an IRA or if it's annuity inside of a Roth um

35:48

if if let's just go with this example though if you have a mica inside of an IRA and it reaches the duration and you want to transfer it to another Miga then it's then it's going to be a non-taxable event Ira to IRA Transfer to that new Miga so it's not going to trigger any

36:05

taxes want to be very very clear on that um so it's going Ira to Ira Roth you know there's no tax you've already paid taxes on that um soapbox again Roth I'm getting a lot of calls on Ross there's a lot of Agents out there that are promoting Roth conversions now I I'm sure I'm wrong

36:24

about this but I just want you to think remember when you're talking to me you're talking someone's been doing this for three plus decades I've been there done that seen that been to the rodeo okay I want you to remember that at one point in time Social Security was a

36:37

tax-free income stream and they changed that Roth IRAs I'm not saying they're going to change it but do you here's what here's all I want you to think about if someone's pushing you to do a Roth conversion and I'm probably wrong but I want you to think about it

36:51

do you trust the politicians in DC to not change the rules that's the first question and secondly do you really know what the income tax rates are going to be down the road the answer to the second one is you don't know and the advisor advising the raw conversion does

37:09

not know and they don't know if these politicians are going to change the rules Let me Give an example would it surprise you if they came out they the apologies came and go you know what Roth IRAs great super you paid your taxes up front however we're going to change rules it's

37:25

still going to be tax-free but you can only use it for solar panels Health Care education and medical stuff I mean would that surprise you it wouldn't surprise me because they'd be like they would they would guide they would put that under the category of

37:40

well that's fair that's fair and the reason that politicians by the way are looking at Roth IRAs is because I believe it's Peter Theo he's one of the billionaires he has a five billion dollar Roth IRA now he invested in stuff that me and you can't invest put in as rough and it grew

37:57

but he he did it by the rules and what now the the politicians say that's not fair it's not fair for him to have a five billion Roth IRA of which all the proceeds will be tax-free meaning that they want to change the rules they they politicians both parties scare me

38:16

so just be careful out there if someone's pushing you to pay taxes up front please next question

38:23Checking Account Balance

38:23

Stan how can I check my balance on several several Migos I own um and I'm gonna I'm gonna probably let our director of operations ruin on this as well after I answer it typically most of these Mica carriers um have online access to your account so

38:41

remember the money is not held at us never touches our hands it's at the mic economy so if you buy it with an IRA it's going to go from your IRAs example at Vanguard to an IRA at XYZ annuity company so you're going to have access to that you're going to get an annual

38:55

hard copy statement you're going to get hard copy policy in the mail Leah can you weigh in any more on that because you deal directly with this yeah um I was going to say Nary um if you can email our service team at client dot service at the annuityman.com

39:14

and just let us know that you're interested in getting set up on the websites for the insurance companies or what you're looking for we will touch base with you and take care of that for you

39:23Index Annuities

39:24

hey by the way if you schedule call with me this is the way it goes seriously I mean I wish I was a whiz-bang closer but I don't you know we um we just provide information and I answer questions and we talk like this just we're having a conversation so I'm not a

39:42

hammer looking for a nail you know if you know what I mean next question Wendy I'm just interested in returns but would like something to balance my IRA funds that I'm okay with 70 30 stocks blah blah blah I'm assuming Migos will be good for me this is a loaded question and I

40:00

I'm glad you asked it Wendy but if you asked it to anybody most agents they're going to say well you need to buy an index annuity because you get Market upside with no downside you get an upfront bonus just be very very careful with that remember nothing wrong with index news

40:15

we love them we sell more than most people but we tell people their CD products and expect a two to four percent return Yes lean in please two to four percent I know that's not what you see on the internet you see like good 11 percent the good 13 and the proposals

40:29

you see that's that's garbage but I think right now with current migrates they're going to outperform the majority of indexed annuities because the guarantee the interest rate is guaranteed give you an example with indexed annuities be and the annuity

40:45

companies can change the rules on the on the cap spreads and participation rates and how the gains are calculated and that's just that's just the way it is and it's just the rules if you look at the specimen policy it is what it is but some years with index news you're going

40:59

to get one and then one you're going to get six and one you're going to get zero one you're going to get four one you're going to get seven one year again at five and then the next you're going to get zero all of that added up does not be to my God if a Miga is giving you four and a

41:14

half percent say on a five year at the time of this taping I know this is probably going to date this you're down the road it's not going to beat that I'm just I'm just telling you it's not I know that the agents are going to say it stands wrong well then have them sign a piece

41:27

of paper and say well if if stands right then you have to pay me the difference um I'm right you're better off in my opinion buying a myga because the this guarantee the interest is guaranteed plus you can buy short-term paper three year four year five year most index

41:44

annuities out there are seven or ten year surrender charges so if you're buying a 10-year surrender charge indexed annuity with a one-year call option you're really buying a one-year guarantee with a 10-year surrender charge please tell me how that makes sense

41:57

you know I would rather you keep the maturity shorter the other reason that everyone's going to try to sell you an index annuity the built-in commissions are huge compared to migas and that's the reason they don't they always lead Hammer finding the nail you could come

42:11

to them say I have a sore throat and a sprained ankle and they'll be like you know what I think you need to index annuity so be careful out there all right next question I've listened to your podcast thank you every Tuesday fun with annuities all major platforms

42:27

um not gotten the books in the mail yet um we got back ordered big time on those and like I said we just did the last run so those should be going out next week if you don't have them boy you better sign up because never again or I mean we should save some Leah let's save some

42:42

for the Smithsonian because I'm assuming they're going to call um but I've searched the web search the web be careful still do not understand mica or income writer yeah let's do it I'm a five-year-old okay great a myga and I want you to be I don't want you to

43:00

make it any more difficult than this it's like a CD okay you give money to the life insurance company that issues the myga life insurance companies issue annuities they issue mangas and that life insurance company is going to guarantee a specific annual interest rate

43:17

for a specific period of time a CD is you give money to the bank or brokerage firm they guarantee a specific interest rate annually for a specific period of time migas CD CDs micas Apples to Apples income writers different thing that is an attachment at

43:36

the time of application an income writer is not a standalone thing you can buy you can't call me and say I just want to buy the income Rider can't it's got to be attached to either and most of the time either an index annuity or variable annuity and once again we don't solve

43:50

variability so index entities but when we attach the income rider for uh to the index annuity we do not look at the index annuity or care about it it's nothing more than an efficient and cost-effective delivery system to deliver that income guarantee now where

44:05

income Riders fit and ask people two questions what do you want the money to contractually do when do you want those contractual guarantees to start if the first answer is income and the second answer is down the road I need to start five years seven years then we're going

44:17

to quote deferred income annuities and income Riders which are the two ways to do this and qlex fall under deferred income annuity category and then we're going to show you the highest contractual guarantee of the increment so an income Rider is an attachment for

44:31

Lifetime income that starts in the future if you say stand I want income to start in seven years for me and the wife and I want to know to the penny what it's going to be that's an income rate okay

44:43Indexed Annuities

44:44

when we are not needing to draw money from our annuity isn't the fixed index a better choice than the myga if you ask agents that they'll tell you yes if you ask me that I'll say maybe um remember indexed annuities do not guarantee any interest rate growth

45:01

mica's contractually guarantee a specific annual percentage do not ever base your buying decision on an indexed annuity on a back-tested proposal in other words if the person says to you if you'd have owned it 10 years ago you'd have made this or if you

45:18

got if you take The Upfront bonus plus the back test number you'd have made this then you're stupid and you're the sucker at the table and you get what you deserve okay indexed annuities typically two to four percent five on the upside hopefully yes

45:34

there are years that could be higher than that but remember what I said earlier an earlier question there will be years you get zero years you get one years you get two and it's all going to blend out to that two to four maybe five percent range if you can get a myga and

45:47

get four and a half or four point six or four point seven whatever they are at the time contractually and you can do shorter term meaning three year four year five year instead of locking it in for 10-year to me the myga choice is more attractive and a

46:03

contractual no-brainer not for the agent the agent is going to get paid much much much much less than they would if they sold an index annuity that's the reason they all lead with indexed annuities which is unfortunate next

46:16Compound Interest

46:16

do migas compound interest the same as CDs the answer is yes and 90 I'd say 95 of migas have compounding interest there are some outliers that have simple interest will tell you that we'll Point those out to you but most the vast majority compound interest like CDs

46:36Fixed Index Annuity

46:37

I have a hundred thousand dollar AIG fixed index annuity inside of an IRA just put that in there and plan to transfer ten thousand each year to my traditional and convert it to a Roth

46:48Roth Conversion

46:49

I might be wrong about this I've talked about this before I do not I'm just one of those people out there and most of the old heads out here like me that's been doing for a long long time we just don't believe in the Roth conversions we don't believe you can do it though and

47:02

I'm probably wrong and it's probably going to work out perfectly for you but I wouldn't advise that I wouldn't advise that at all and whoever's advising that uh it's I just disagree factually so there you go

47:16MultiYear Annuities

47:17

Mark hey Stan if we could contract a mic for five years and things change and we move up retirement in two years from now and want to convert the mica to a fixative I'm assuming you're thinking immediate annuity does the accrued interest reduced I'm gonna I'm gonna weigh in and

47:34

I'm gonna let Leah do this as well because I I'm not sure I totally understand here's I did I did a very popular video called my good aspia and um it's upset the industry because it's right and it's good meaning that you buy a multi-year guarantee annuity you get

47:52

the guaranteed interest rate and then at the end of the term we can then transfer it tax tax deferred you know it's not going to triggering taxes to the highest paying immediate annuity of which we go shop for it's a that's another way to do income later as opposed to doing an

48:08

income Rider that that has an annual fee for the life of the policy so I'm assuming that's what you mean Leah can you weigh in and see if you read anything different from that than I did uh no I I think that's how you're understanding it I would I would like to

48:24

add that every myga contract is a little bit different um all annuities no matter the the type are designed to be are built in annuitization so they're going to have wording in the contract that guarantees lifetime income some migas will let you do that without

48:44

penalty after the first year some you have to wait until the end of the term um it's going to vary by the contract

48:52Commodity Products

48:52

I wish it was all you even though these are commodity products not all of the internal rules are uniform if that makes sense so we're making our decision on the commoditization of the guarantees but internally there might be some different rules Mark what I tell you to

49:09

do in this not a sales pitch is is just schedule call with me let's go over it explain what you're trying to do and maybe a better solution is to ladder different maturities say do a two year three year five-year so that you have money coming due in case you need to

49:24

annuitize it Etc next question

49:28Fuel Gross

49:29

inflation oh my gosh when considering fuel gross is much higher of course it is to what degree annuities safe heads

49:38Inflation

49:39

I'm going to get back on my sub box because you obviously didn't hear the last time I said this if anybody tells you that their annuity type solves for inflation or addresses inflation it's just a bad sales pitch period end of story can it offset it yeah it can

49:57

offset it I guess my guess could be say Well yeah if inflation's at nine and you're getting four and a half it's offsetting it but once again and I'm going to ask you people out there in the audience to just be honest with yourself I want you to think of your total

50:14

investable assets your net worth if it's over five hundred thousand dollars I need you to stop I need you to stop whining and stop complaining and stop obsessing about inflation if that makes you mad so be it but I'm right you need to stop there are some people out there

50:32

and I'm not some bleeding heart believe me I'm a biggest capitalist on the planet but there's people out there that inflation is hurting them okay remember 65 of the people don't have ten thousand dollars to the name and the majority of people in this country don't have 400 in

50:48

the checking account to solve for an emergency if you have multiple hundreds of thousands of dollars you're going to be okay and you know Janet Yellen said that inflation was transitory of course she was wrong but this will come in this woke up and you will still have hundreds

51:06

of thousands of dollars not your head stop watching cable news stop CNBC Fox but remember they have to get they have to keep you watching they're going to either scare you or or it's either fear or greed right and inflation is fear let me ask you a question and answer

51:27

this honestly to yourself when you go to the grocery store yes the prices are high but can you buy pretty much anything in there sure you can most people can own this on this a live event I need you to come off the inflation thing you can't solve for

51:43

it and if you keep trying and you keep going down that rabbit hole you're going to buy something from someone that tells you they have it and you're going to regret it next question this is the last question we have last question you better line them up or I'm out of here here we go

51:58

on annuities that can refund the unused portion to The Heirs that would be say life with cash refund or a life with installment refund or income writers also whatever's left in the accumulation value goes to the list of beneficiaries 100 percent how to carriers amortize the premium

52:18

to arrive at the unused balance huh I have to Pawn on that one I don't think they do Leah

52:28Life Expectancy

52:29

whenever an insurance company is calculating the guarantee it's pretty much linked to the life expectancy so if someone's 70 and the life

52:38Guarantee Payments

52:40

expectancy is 86 and you're doing an installment refund the guarantee payments are going to be over approximately 16 years and that's a that's a good guideline to go by very

52:54Back Stock

52:54

very well put I I didn't know that was where he was headed the other thing I need to add to that is remember when you're buying lifetime income and you have the back stock what I call that southern version of remember Little League you had the backstop save the

53:06

balls from going down the hill um cash refund and installment refund or period certain those are another word for it those are the backstops that have the guarantees in case you die early in the policy but just remember with lifetime income you're saying to the life insurance

53:23

company if it's you I think I'm gonna live longer than you think I'm going to live and if I do you're on the hook to pay an insurance company if it's joined same thing one of us is going to outlive what you're projecting us to live so um that's the way that's that's my

53:38

answer to that any other questions pop since I laid it oh I did yeah it's so you guys want me to be still oh that's good hi Stan

53:46Immediate Fixed Annuity

53:47

what's the best rate I'm glad this question was asked okay what's the best rate right now for an immediate fixed annuity so a single premium immediately for a hundred thousand okay let me tell you how it works first of all fixed annuity single premium immediate

54:02

annuities are are regulated at the state level so we'd have to run it for your state we'd have to run it for your specific date of birth or if joint like dates of birth so you can't just ruin it 60 foot no I need your date of birth they price life expectancy to the day

54:20

and then there's 40 plus ways to structure an immediate annuity this question here is so broad it's like saying you know what's your favorite restaurant what kind of restaurant or what's your favorite car what kind of car what's your favorite shoe what kind of shoe

54:36

what's your favorite what's the best immediate annuity okay what state are you in how what's your date of birth is it joint life do you want it cash refund do you want an installment refund this is when you schedule a call with me and then I personally run those quotes for

54:51

you but this is a question that is not answerable because I need more specifics in order to quote all carriers for the highest contractual guarantee and remember immediate annuity quotes lifetime income quotes typically change every seven to ten days like a gallon of

55:08

milk okay so I'm glad you asked that Karen but that's the answer next question

55:14MultiYear Guarantee Annuity

55:15

is the annuitization offered in my competitive the answer is yes sometimes not all the time if you have a multi-year guarantee annuity and at the end of the duration you say I want an immediate annuity we have to legally have the multi-year guarantee annuity that you're currently

55:36

with run the annuitization quote that you want then we will run the annuitization quote Apples to Apples with all of the other carriers and you're going to choose the highest contractual guarantee so if it is the manga that you're currently with and

55:51

they have the best annuitization quote then you're going to stay there it's similar to when people call me up and say I'm getting a pension buyout Stan I'm getting 422 000 or 2732 a month and I'll say okay let's run a comparison quote and then you're going

56:07

to choose the highest contractual guarantee remember our whole thing here yes we do want you as a client okay but we want you to choose the highest contractual guarantee if that's with us great but if it's not with us meaning the pension come the company you're

56:21

that's offering the pension um or the myga company that you're currently at think right now just to give you some insight if if you're with a mica company and and they have the highest annuitization rate then that agent is not going to get paid again for transferring the money or for

56:40

annuitizing that's okay that's okay all all commissions are built into the to the product you never see them but we're gonna you know the the promise we're gonna make to you I tell my team this all the time you get you got to do three things with me you gotta you gotta

56:56

show up on time you got to do what you can call on time by the way you gotta you gotta do what you say if if you say you're gonna do it you got to do it and the third thing you got to tell the truth now those that's it that's our business model and when you get us on

57:10

the phone that's what we're gonna do we're gonna call on time we're gonna do what we say we're going to do and we're gonna tell you the truth and if the truth is this is a better deal it is I'll give you an example I had I had a gentleman the other day he he really

57:22

wanted to be a client he had been following us for a long long time he was getting a pension offer I said well let's let's see what let's see what it is we ran the and 80 of the time the pension offer you're getting from your company is going to be higher than what

57:34

I can get you on the street because the company wants to keep the money not give you the lump sum think about it so we ran the quote and the quote that he was getting from his company was 200 a month more and I said that's a no-brainer you're staying where you are congratulations my

57:49

only comment is can they back it up when he told me the company's name I'm like oh yeah they can back it up you stay right there all that means is they want you there and they don't want to give you the lump sum and you take advantage of that so that's an example of that any

58:01

other questions Leah where are we at do you disagree with Ross well yes I do do you disagree with Roth conversions in general so why and let me disclaimer this one more time I want to make this very clear this is my opinion I'm sure I'm wrong but this is my

58:17

opinion and the two reasons that I say this is number one Social Security at one point in time was tax-free number two I don't trust politicians not to change the rules and I guess there's a third one I don't know what tax rates are going to be in the future

58:36

so those are the three things that make me say I don't think I want to do that and and I have in my 30-year career have never I'm probably wrong advice on Roth conversions for those reasons period I don't trust the listen I've been around so long I remember when

58:57

the Roth IRA was first introduced okay and I remember that that week same day politicians asking is there a way in the future that they could tax it I remember that it it left a scar with me I couldn't believe that that soon they were trying to think of a way to tax it

59:16

they're still trying to think of a way to tax it and in my opinion Roth IRA holders are a very very very small voting block and everything in our life politically comes down to voting blocks it would be very easy for politicians to frame you Roth holders as the evil rich

59:34

and it's not fair and you know I'm right if I was a politician I could I could sell that all day long I would get on the stump and I would say this listen there's something unfair going on in this country um there are people that have things called Roth IRAs where they can take the

59:51

money out tax-free they never have to pay taxes now yes they did pay upfront taxes a long time ago and they're fortunate enough to have all this money to be able to do that but now but now they can't they don't have to pay taxes on all this money and we have a

60:05

billionaire named Peter Phil that has a five billion dollar Roth IRA that he's going to be able to take that five billion dollars out and do whatever he wants and not pay taxes now as a as you everyone in this Arena do you think that's fair I'll look no of course it's

60:21

not fair the evil rich are getting away with it once again now you and I both know that's BS but could it sell to the public could it sell politically of course it can next our annuity limits based on join our individual it's annuity limits and what

60:39

they're talking of what what Rush fan 20 21 12 is talking about is um the annuity industry really doesn't like to see you put more than 50 of your investable assets in annuities um we're talking about households so if it's if it's husband and wife and you

60:55

have a million dollars in investable assets and between the both of you you have five hundred thousand dollars in annuities then you're probably at your limit next question at what age should you stop buying immediate annuities there's no good answers to that one just bad sales

61:11

pitches um a lot of older older people um I had a had an 87 year old uh the other day sharp is attack and said I want to buy a 10-year period certain I don't I know I'm not going to live um 10 years I see you might but they wanted to leave it as a legacy meaning

61:29

10-year period certain someone's going to get paid that income for that 10 years whether it's them or their list of beneficiaries so it really depends on the goal of the asset um and that's something that we'll talk about in a lot of cases it's not suitable but in that case it was a

61:44

legacy play and it was suitable and typically um annuity comes we'll issue immediate annuities if it's suitable and appropriate up to age 90 and some past that foreign that is it for questions we do have a couple of carrier specific product questions yes and I would like to

62:05

encourage you to go to our website click on book a call and then look at that phone scroll down and you can schedule a 30-minute conversation with Stan um and he will discuss the product specifics with you yeah we don't we don't mention carrier names on this

62:24

because I would want them to pay me and they're not going to pay me they got to pay me an endorsement fee so hey with that I want to thank every single one of you for joining us we do this once a month I really appreciate it go to our site schedule call get the books while

62:39

you can and I'll see you next time

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