Annuities: A Strategy, Not a Game: Shootin' It Straight With Stan

I'm your host, Stan The Annuity Man, America's Annuity Agent, licensed in all 50 states. Today's topic is an important one. Listen up, lean in, get comfortable, and grab your coffee because we're about to talk about your retirement plan not being an annuity game.

The Reality of the Annuity Industry

Many people in the annuity industry are simply looking for nails to hammer. They're going to sell one product to everyone. They’ll get you to a seminar or into their office, and they’ll sell the highest-commission product in most cases. Not always, but often. There are some great people in the annuity industry, and at The Annuity Man, we consider ourselves thought leaders in the space. I’ve done tons of edutainment, entertainment, and education through thousands of videos and seven books on the topic.

You can download these books 24/7/365 for free. I've written articles, appeared on every show out there, and spoken to a demographic tidal wave of 11,000 to 12,000 people turning 65 every day. These are people seeking a lifestyle they’ve earned, wanting to do chapter two of their lives on their terms. Most people aren't looking for market growth. They’ve realized they can live off their money contractually by peeling interest off it or by setting up lifetime income streams with annuities combined with Social Security.

A Simple Retirement Plan

I always tell people that you go from trying to hit home runs to just aiming for bunt singles. In retirement, your plan should be focused on small wins, not big risks. Your retirement plan should allow you to go to a cocktail party and be okay when others say, "You missed out on that one," because everything is contractual. You know where everything is, and you can explain it, even to a 9-year-old. It’s a simple plan.

The Truth About Fiduciaries

When I say your retirement plan is not an annuity game, I mean it. A lot of agents and advisors, whether they claim to be fiduciaries or not, are simply following a sales agenda. I’m going to tell you straight up: some fiduciaries put a plaque on their wall saying, "I’m a fiduciary," but they're often just pretending. So, what does fiduciary mean? It means someone who puts the customer’s best interest ahead of their own.

Shouldn’t that be everyone? Why is there a need for a plaque on the wall? That’s like putting a plaque up saying, "I’m a good guy." Well, are you? The fiduciary role is important, but we should look at actions, not plaques. At The Annuity Man, we listen more than we talk because my grandfather always said, "If you tell the truth, you don’t have to remember anything." This isn’t a game. This is about people’s hard-earned money.

A Serious Business

I recently said in my Las Vegas office, which is now the main office for The Annuity Man, that what we do is very serious. We don't take ourselves too seriously, but this isn’t a game. When you are pitched anything—especially annuities—understand that commissions are built into these products. Whether good or bad, they’re there. The simpler the product, the lower the commission. The more complex and long-term the product, the higher the commission. Ask about the commission. Ask tough questions.

Ask Tough Questions

Moshe Milevsky, one of the smartest minds in the annuity world, advises asking tough questions. If you don’t understand something about an annuity, don’t buy it until you do. Look at the contractual guarantees. When you're considering annuities like Single Premium Immediate Annuities, Deferred Income Annuities, or Multi-Year Guarantee Annuities, remember that these products are based on contractual guarantees. There will be no changes to the contract, but some products do have moving parts. You need to understand those before you make any decisions.

Recognize the Red Flags

If someone invites you to a steakhouse you've never heard of, with the promise to pay for it, that should raise some red flags. If they’re pitching you a single type of annuity product from one company, alarms should go off. Don’t settle for someone who only shows you one option. Ask to see five other carriers offering the same product. If they can’t, then they’re not working for you. They’re on a sales path with an agenda.

The Importance of Contractual Guarantees

I’m not trying to bash the entire industry, but some people view your money as a game. That’s not how we approach it at The Annuity Man. You need to remember that annuities are contractual products. Always shop for the best contractual guarantees for your situation.

And understand that quotes change like the price of a gallon of milk. Once carriers reach capacity for a specific age or product, they may reduce the guarantee or pull the product altogether.

Be Careful With Upfront Bonuses

Another red flag is when someone pitches an annuity with an upfront bonus. If that’s their pitch, the answer is simple: "This is not a game." Don’t fall for the gimmicks. You need to be sure you’re working with someone focused on your long-term financial security, not selling you a product to earn a bonus.

Understand the PILL

When considering annuities, always ask two questions: What do you want the money to contractually do, and when do you want those contractual guarantees to start? Use the acronym PILL to evaluate your needs:

• Principle protection
• Income for life
• Legacy
• Long-term care or confinement care

If you don’t need to contractually solve for these, then you don’t need an annuity.

Conclusion

This is not a game. The PILL is not a game. Asking the right questions is not a game. These are contractual guarantees designed to give you certainty in retirement. Wouldn’t it be great to enter retirement with no financial surprises? With guaranteed lifetime income products like annuities, CDs, municipal bonds, and other low-risk investments, you can create an income floor that supports your lifestyle without worry.

Remember, when someone pitches you an annuity, ask hard questions and understand what you’re getting into. This is your hard-earned money. This is not a game.

Go to The Annuity Man, book a call with us, and watch my videos. I’ll continue to do everything I can to edutain, educate, and entertain you. And always remember: take your retirement seriously. This is your money, and you’re in control.

I'm Stan The Annuity Man, and you've been Shootin' It Straight With Stan. See you next time.