Annuity for Ins. Agent

[houcoogster]

Which annuity would be the best for an ind. agent to buy for himself?
I would imagine you would want the highest interest rate and lowest commission so it would grow tax deferred. The amount would be about 5 grand and start to draw on it in about 25 years. I'm thinking about doing one a year. I'm open to all suggestions, please tell me the carrier and type of product and int. rate.

 

[padthaiforlunch]

You okay with a 25 year surrender?

 

[houcoogster]

I think so, it will be for retirement.

 

[padthaiforlunch]

Do You want an income rider?

 

[houcoogster]

nah...............

 

[padthaiforlunch]

If you want a FIA, take a look at Equitrust. It has decent crediting rates and EQ does good with reset rates.

Products

 

[ScottLFB]

One thing you are going to run into if you're only putting $5K in the policy is that most of the carriers won't accept a small premium like that. You may be better off doing a flexible premium plan (Roth IRA) so it qualifies as "qualified" money (even though we know Roth is Non-qualified money) for the carriers so your smaller amounts will be accepted. If you're at least age 40+ you could look at a product for North American so you can attach the 6% compounding income rider that will grow for the full 25yrs. Since you don't care about commission, but just higher rates they have some options where you sacrific premium Bonuses and commissions for higher rates (up to 10% currently on annual pt to pt and 3.65% on the monthly pt to pt).

Just an option, I'm not pimped North American, but it may work for you in this case and allow you to put additional funds in the policy down the road..

 

[Norwayguy]

Oh heck many carriers will still accept 5K of qualified money and that would be for Traditional or Roth. A flex policy could be better if you want to only have 1 policy for the next 25 years and be out of surrender period long before that comes up...

 

[padthaiforlunch]

Yeah, I wasn't thinking of min's when I suggested Equitrust. They have some of the best rates out there right now.

Cougster, also consider buying bonds issued by insurance an insurance carrier. You'll likely find the rates are better than their annuities.

 

[RichS]

What type of annuity are you interested in? Fixed? Variable? Indexed? Why do you want it? What's your age? If this is part of your retirement plan what percentage is it of your total plan?

RichS