by John Darer CLU ChFC CSSC RSP CLTC
Annuities are boring financial creatures that are unapologetic for simply providing a sustainable "river" of income. A Harris interactive survey conducted in conjunction with Age Wave found that 61% of Americans over age 55 view having enough savings to have "financial piece of mind" to be a top priority.
Structured settlements make sense for those older than age 55, including plaintiff attorneys who wish to structure attorney fees.
The difficulty in living off a "mountain of cash" is to gauge life expectancy, investment risk and extraordinary and unpredictable expenses like the need for custodial care, particularly if long term care insurance has not been purchased and the individual is uninsurable.
Structured settlements, structured attorney fees, structured sales are financial tools that can give payees, stable , secure, guaranteed cash flow. Structured settlements and structured attorney fees can be funded via structured annuities or United States Treasury obligations. Structured sales, or structured installment sales, which help convert real property of businesses into an income stream are presently funded with United States Treasury obligations.
Ol' man river,
Dat ol' man river
He mus'know sumpin'
But don't say nuthin',
He jes'keeps rollin'
He keeps on rollin' along.
(Paul Robeson 1898-1976)