Deferred Income Annuity Blog

Saving For the Future | Enough With The Excuses!

The Tip Sheet, on page 30 of the New York Post on December 3, 2006, reports an astounding United States Commerce Department statistic-the national savings rate fell to -0.5%. That's right... negative!

In Excuses! Get Over Yours For Saving, Gregory Bresiger highlights 3 common excuses and why you should reject them

"I Can't Afford it" Identify a luxury that you can live without and sock that money away

"I'll start Saving Later" Procrastinating and inflation will eat away at your ability to get ahead

"Isn't  Social Security Supposed To Take Care of Me?" It's intended to be a supplement, and who knows what the future holds?

There's much more to it than these three points, but Bresiger's points are well taken.

Deferred Income Annuities are an excellent conservative tax deferral strategy that helps you define your results so that you can "know now what you will get then". As part of your overall strategy consider allocating some portion to a deferred income vehicle as a stable counterpart to your more volatile investments.

The Deferred Income Annuity | An Important Longevity Planning Solution

by John Darer CLU ChFC MSSC CeFT RSP CLTC

As workers are increasingly less likely able to rely on employee benefit and employer sponsored retirement plans to solve all of their retirement needs, the deferred income annuity is an ever important solution. Years ago it was common for a company to have what is known as a defined benefit plan and worker/employees could know what they'd have along with the "gold watch". Today's worker employee is more likely to have a 401(k), SEP or other so-called defined contribution plan which puts the risk of adequacy (of contributions) and the investment risk on the worker/employee. Some employers provide matching contributions. Others don't have plans at all. Higher income employees may have hit the contribution maximum ( "maxed out") but the future shows that such plans will provide an inadequate level of income replacement.

With a deferred income annuity an individual can put away money now and it will buy a known amount of money at some pre-defined future starting point. There are no limits to what an individual can put into a deferred income annuity. Minimums are typically ten thousand ($10,000). You can even say that you want a certain amount of monthly, quarterly, semi-annual or annual annuity income and we can tell you what it will cost. You can set up a plan where you will buy a series of deferred income annuity contracts each year to help you achieve your goal.

A deferred income annuity serve the role of insurance for your portfolio. If you are a risk taker with investment experience and confidence in your abilities, you should still consider using a deferred income annuity to at least guarantee a baseline of income in case things don't turn out as you expect.

Such annuities are eligible for medical underwriting and a rated age could help boost the lifetime yield per dollar placed in the deferred income annuity

A Deferred income annuity is only available from a small handful of insurance companies who take on the risk of you outliving your assets.

Please contact us if you would like to see a quote. Please note that I only seek business in those states where I am licensed

Deferred Income Annuity | Need Money Then? Define Your Future Income Now!

by John Darer CLU ChFC MSSC CeFT  RSP CLTC

TV ads at virtually anytime of the day and a plethora of Internet ads tell you about why you need money now. But what happens if you need money then?

Some people just want to secure their futures. Some want to avoid the volatility of the stock market, mutual funds, pyramid marketing and other schemes and would like to know what they are going to receive and to have the comfort of knowing exactly when they are going to receive it.

The annuity solutions offered by most life insurance companies fail to adequately bridge the gap between deferral and income needs when there is a need for "money then" and there is a need to know how much. You can buy a fixed or variable annuity for deferral purposes, but you never know exactly what you are going to accumulate. Furthermore you never know exactly how much income you will get until you "annuitize" the annuity. You can buy an immediate income annuity or SPIA, but you can't have a start date later than 13 months (as provided by IRC Section 72(u). Fortunately today there is a solution.

A customizable deferred income annuity is now being offered permitting an individual to, if you will, buy income, or better said to buy deferred income.

Very simply you can:

• figure out now, today, the amount of money you need then. Then we can help you calculate how much money now you need to put away to have that exact amount of income coming to you beginning on the very day then in the future that you want it.
• decide how much money now that you can or want to put away and know now exactly how much you will get on the very day you set to start taking the the money out as income then.

For details and quotes please contact us