Let’s put our work boots on today and dig into some of the science of financial planning. We’ve been doing a lot of fluffy, motivational-type stuff on Radical Personal Finance recently. That stuff is really valuable but it needs to be tempered with some serious knowledge.
Today, let’s talk about annuities.
Annuities get a bad rap in the financial marketplace. And rightly so. They’ve been shamefully misrepresented, oversold, and abused by many insurance agents.
But do they have a place? Can they be an incredibly useful tool in the toolbelt of a good financial planner?
I believe so.
In today’s show I work to share with you some background and structure about annuities. This will help you to understand the words involved and the different product structures available.
We talk about:
- The number of lives covered (single life vs joint life vs joint-and-survivor annuities)
- When the payments start (immediate vs. deferred)
- Methods of premium payment (lump sums vs. periodic payments)
- Pure/straight life vs. refund annuitiesÂ
- Fixed vs. variable vs. indexed annuities
- And tons more!
Enjoy the show!
Joshua
Joshua J. Sheats, MSFS, is the world's leading authority on integrating lifestyle goals and money goals without conflict. He teaches normal people how to seamlessly connect the science of financial planning with the joy of goal achievement.
Joshua is dedicated to helping normal people achieve financial freedom by merging creative (and crazy) ideas from the world of personal finance with the academic integrity of formal financial planning. He simplifies complex money topics and makes boring financial mumbo-jumbo less boring.
