In this episode, The Annuity Man discussed:

• Preserving principal

• Matching products to time horizons

• Adapting to changing rates

• Prioritizing peace of mind

Key Takeaways:

• The “never touch the principal” rule emphasizes generating retirement income from interest alone, keeping original capital intact for protection and legacy.

• CDs and treasuries are best for terms under three years, while MYGAs provide tax-deferral benefits and stronger returns for longer durations.

• High interest rates make this strategy attractive now, but if rates fall, retirees may need to pivot to options like immediate annuities for steady income.

• This approach emphasizes guaranteed returns, protection from volatility and fees, and thoughtful planning, including reviewing MYGA rates, evaluating assets, and considering a spouse’s needs.

"Never touch the principal. Those are the four words I want you to focus on." — Stan The Annuity Man

Connect with The Annuity Man:

Website: http://theannuityman.com/

Email: Stan@TheAnnuityMan.com

Book: Owner’s Manuals: https://www.stantheannuityman.com/how-do-annuities-work

YouTube: https://www.youtube.com/channel/UCCXKKxvVslbeGAlEc5sra2g

Get a Quote Today: https://www.stantheannuityman.com/annuity-calculator!

In this episode, The Annuity Man discussed:

• Recognizing annuity trade-offs

• Focusing on contractual guarantees

• Asking the right questions

• Evaluating strength over sales pitches

Key Takeaways:

• No annuity is perfect; each comes with both benefits and limitations. They should be understood as commodity products rather than flawless solutions.

• Annuities should always be purchased for their contractual promises, such as lifetime income or principal protection, rather than hypothetical returns.

• The key to choosing the right annuity is identifying what you want the money to do contractually and when you want those guarantees to begin.

• When comparing annuities, focus on the company’s financial stability and the highest contractual guarantees offered, not marketing claims or projections.

"If you do not need to contractually solve for one or more of those items in the PILL acronym, then you do not need an annuity." — Stan The Annuity Man

Connect with The Annuity Man:

Website: http://theannuityman.com/

Email: Stan@TheAnnuityMan.com

Book: Owner’s Manuals: https://www.stantheannuityman.com/how-do-annuities-work

YouTube: https://www.youtube.com/channel/UCCXKKxvVslbeGAlEc5sra2g

Get a Quote Today: https://www.stantheannuityman.com/annuity-calculator!

In this episode, The Annuity Man discussed:

• Annuities as lifetime income

• How annuities are priced

• Focus on contractual guarantees

• Two primary purposes of annuities

Key Takeaways:

• Annuities, like Social Security or pensions, provide guaranteed income for life. They come in several forms, such as immediate, deferred, and longevity annuities, each designed to fit different timing and retirement needs.

• The pricing of annuities is based on life expectancy, interest rates, and insurer capacity. Because of these factors, annuity quotes change frequently, much like other market-driven products.

• Annuities should be purchased for their contractual guarantees rather than hypothetical returns. Comparing these guarantees across different carriers ensures you get the most reliable value.

• The main reasons people buy annuities are for principal protection and income for life. Choosing the right annuity depends on what you want your money to do and when you want the guarantees to begin.

"Capacity equals competition. And that's the reason that when you look at annuities for just the contractual guarantees of the policy, which is the reason you should buy, never buy an annuity for the hypothetical returns." — Stan The Annuity Man

Connect with The Annuity Man:

Website: http://theannuityman.com/

Email: Stan@TheAnnuityMan.com

Book: Owner’s Manuals: https://www.stantheannuityman.com/how-do-annuities-work

YouTube: https://www.youtube.com/channel/UCCXKKxvVslbeGAlEc5sra2g

Get a Quote Today: https://www.stantheannuityman.com/annuity-calculator!

In this episode, The Annuity Man discussed:

• The value of annuities for lifetime income planning

• Laddering strategy with annuities

• Placing an annuity inside a trust

Key Takeaways:

• When it comes to planning for lifetime income, annuities can be a valuable tool. However, it's essential to approach annuities with strategies that allow for flexibility and the ability to adapt to changing circumstances.

• By purchasing multiple annuities with different start dates, you can create a steady stream of income that aligns with your needs over time. This approach, called laddering, allows you to adjust your income as your requirements change, providing a level of flexibility that a single annuity may not offer.

• By placing an annuity inside a trust, you can maintain control over the asset while still benefiting from the lifetime income it provides. This strategy can be particularly useful for those who want to ensure their assets are managed according to their wishes, even if they become incapacitated.

"It's a keep your powder dry strategy, meaning that you can go into this with a plan in place for future income needs in the future. You know exactly to the penny what that's going to be. But if something changes between now and then, you can get all your money back because the underlying value walk away money is with that Indexed Annuity, which is a Fixed Annuity." — Stan The Annuity Man.

Connect with The Annuity Man:

Website: http://theannuityman.com/

Email: Stan@TheAnnuityMan.com

Book: Owner’s Manuals: https://www.stantheannuityman.com/how-do-annuities-work

YouTube: https://www.youtube.com/channel/UCCXKKxvVslbeGAlEc5sra2g

Get a Quote Today: https://www.stantheannuityman.com/annuity-calculator!

In this episode, The Annuity Man discussed:

• CDs and MYGAs

• I-bond no-brainer

• The safest product in principal protection

• How safe are MYGAs?

Key Takeaways:

• Here’s how CDs (Certificate of Deposit) work: you give the bank money, they protect the principal, and you don’t have to pay any fees. You can take the interest if you want to at the end of the term, and do what you want with your money. MYGAs are basically the annuity industry’s version of a CD.

• Treasury bonds are a no-brainer. Go to treasurydirect.gov to buy them for yourself. The only downside of treasury bonds is that there’s a limitation on how much money you can put in them.

• Of these three safe principal protection options, treasury bonds are the safest because the government can tax or confiscate money in order to pay them, and they will. The second safest one is CDs, since they are government-based as well.

• MYGAs are safe products to invest in, and their safety is based on the annuity company’s ability to pay. They are commodity products, and the money you’ll get from them can be used to buy another MYGA from another company. However, you can’t put all your money on annuities; you've got to spread it around.

"This trifecta is a contractual guarantee: CDs, Treasuries, Multi-Year Guarantee Annuities. You’re owning these because of what they will do, not what they might do. You're buying the yield. The yield is contractual." — Stan The Annuity Man

Connect with The Annuity Man:

Website: http://theannuityman.com/

Email: Stan@TheAnnuityMan.com

Book: Owner’s Manuals: https://www.stantheannuityman.com/how-do-annuities-work

YouTube: https://www.youtube.com/channel/UCCXKKxvVslbeGAlEc5sra2g

Get a Quote Today: https://www.stantheannuityman.com/annuity-calculator!

In this episode, The Annuity Man discussed:

• Annuities that increase with inflation

• The role of interest rates in pricing

• For products that adjust for inflation

• Reverse-engineering your income floor

Key Takeaways:

• Annuities don’t give things away for free. A product that magically increases with inflation doesn’t exist.

• Lifetime income is primarily priced based on your life expectancy at the time you take the payment. Interest rates play a minor role.

• For products that have a potential or contractual increase for inflation, the annuity company will severely lower the initial income as compared to the exact annuity without the increase.

• Don’t focus on things that you can’t control. Focus on building up an income floor that suits your needs. Compute the number you’ll need to cover your expenses; we can reverse-engineer a product for that.

"It's math to the annuity companies. It should be math to you. If it sounds too good to be true, it is every single time. " — Stan The Annuity Man.

Connect with The Annuity Man:

Website: http://theannuityman.com/

Email: Stan@TheAnnuityMan.com

Book: Owner’s Manuals: https://www.stantheannuityman.com/how-do-annuities-work

YouTube: https://www.youtube.com/channel/UCCXKKxvVslbeGAlEc5sra2g

Get a Quote Today: https://www.stantheannuityman.com/annuity-calculator!

In this episode, The Annuity Man discussed:

• Products that adjust for inflation

• Thinking rationally about inflation

• Reverse-engineering annuity

Key Takeaways:

• Many bad sales pitches out there mention a way to beat inflation using indexed products that adjust for inflation. What really happens is that the annuity company severely lowers the initial payment to make up for any potential increase.

• Think rationally about inflation. It’s customizable to everybody, meaning not everyone is affected the same way. Some are not even affected at all.

• Start with the goal or the need. How much more do you need in order to live the life that you want? To solve for that difference, you’ve got to shop all carriers and see which offers the highest contractual guarantee that will fit the goal or the need.

"Just hold until you need to fill the gap in income for inflation. Don't be proactive; don't throw darts at it. But if you do want to throw darts - let's buy income that starts at a future date." — Stan The Annuity Man.

Connect with The Annuity Man:

Website: http://theannuityman.com/

Email: Stan@TheAnnuityMan.com

Book: Owner’s Manuals: https://www.stantheannuityman.com/how-do-annuities-work

YouTube: https://www.youtube.com/channel/UCCXKKxvVslbeGAlEc5sra2g

Get a Quote Today: https://www.stantheannuityman.com/annuity-calculator!

In this episode, The Annuity Man discussed:

• Threading the needle with volatility

• Freedom from volatility

• Annuities are the haystack

• Time to secure guarantees

Key Takeaways:

• Threading the needle to get market returns makes you dependent upon so much unknown. You’re dependent on world markets, geopolitical events, and meltdowns that are impossible to predict.

• A lot of people can retire from their jobs and the market, and they should; those who can’t yet should make it a goal to do that and be free from being dependent on volatility.

• There’s no threading the needle for principal protection; there’s no finding the needle in a haystack for lifetime income. You don’t need to find a needle; you need the haystack. Use an annuity to have the highest contractual guarantee.

• What phase of your life are you in right now? If you’re in the no-go stage, then it’s time to stop losing sleep over the markets, and it’s time to secure guarantees.

"Investing in markets a lot of times is like surfing the side of a cruise ship. Sometimes you’re going to catch a wave right beside that cruise ship, but a lot of times, you’re going to get sucked under the boat." — Stan The Annuity Man.

Connect with The Annuity Man:

Website: http://theannuityman.com/

Email: Stan@TheAnnuityMan.com

Book: Owner’s Manuals: https://www.stantheannuityman.com/how-do-annuities-work

YouTube: https://www.youtube.com/channel/UCCXKKxvVslbeGAlEc5sra2g

Get a Quote Today: https://www.stantheannuityman.com/annuity-calculator!