How do I learn Annuities ..?

The closest that I've heard of is the MassMutual Odyssey fixed annuity, but it requires $1,000 to start and then you can do a minimum of $50/month.

Here's the key for contributory annuities: you want the surrender charge schedule to be based on the contract years, not the premium payments. Otherwise, if it's based on premium payments, you'll never be fully out of a surrender period until the last surrender charge of the last premium finally expires.

This way, after 7 years of the contract being in-force, you can move the whole thing to something else.

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That says the initial is 4k or 10k.
 
I'm very familiar with indexed annuities and index universal life plans.
I've just had a couple people recently wanting to set up an IRA and they don't have any lump sums right now to contribute but they could do a 50 or $100 a monthly contribution.
I would suggest they save the $50/month in a savings account, until they have the $1,000 needed to open a new indexed annuity.
 
I'm very familiar with indexed annuities and index universal life plans.
I've just had a couple people recently wanting to set up an IRA and they don't have any lump sums right now to contribute but they could do a 50 or $100 a monthly contribution.
very few carriers offer this for several reasons.

Almost no demand for it. Agent cant make any money really at 2-3% commission on $50 per month. That small amount of money cant compenstate the agent for the time & effort to complete a 12 page application with a full collection of their income & assets for suitability/best interest.

Also, not that much demand like there was 20-30 years ago as most people have a 401k or Simple IRA at work where they likely should be making IRA contributions to get matches.

lastly, they can open an IRA online that will allow low risk, no risk or high risk directly with online broker.

most of the products you will find that allow flexible annuity contributions will be somewhat inferior & then you put yourself in a pickle with it being in their best interest when they could merely bump their payroll deductions by $13 more dollars per week in their employer plan. (employer plans have greater creditor protection, allow for loans that IRAs don't & even potentially allow for no 10% early withdrawal penalty at age 55 compared to age 59 1/2 with IRA accounts)
 
I would suggest they save the $50/month in a savings account, until they have the $1,000 needed to open a new indexed annuity.
Yes, I have just been through this process.

I had accumulated money in various credit union ira accounts. I consolidated them to a few places, added a 401K rollover, converted it all to Roth and bought an indexed annuity with 1035 exchanges. The process worked very smoothly.

My personal opinion would match up with @Sheryl J Moore 's, that you should just encourage them to set up a credit union ira account and contribute in a disciplined manner.

If their tax and cash flow situations would allow, I would encourage them to do the contributions as Roth contributions. I would also encourage having them accumulated funds to $5K rather than just $1k before you sell them a fixed indexed annuity. It is my personal, mostly uninformed, non-agent opinion that you will be able to work from a better selection of qualified fund product with $5K rather than just $1K.

As an alternative, I think you could also discuss with them the option to accumulate funds at Fidelity or Schwab and then do 1035 exchanges from there.

I realize that does not get you any immediate commissions but I think your clients will be better served with one of those options.
 
Yes, I have just been through this process.

I had accumulated money in various credit union ira accounts. I consolidated them to a few places, added a 401K rollover, converted it all to Roth and bought an indexed annuity with 1035 exchanges. The process worked very smoothly.

My personal opinion would match up with @Sheryl J Moore 's, that you should just encourage them to set up a credit union ira account and contribute in a disciplined manner.

If their tax and cash flow situations would allow, I would encourage them to do the contributions as Roth contributions. I would also encourage having them accumulated funds to $5K rather than just $1k before you sell them a fixed indexed annuity. It is my personal, mostly uninformed, non-agent opinion that you will be able to work from a better selection of qualified fund product with $5K rather than just $1K.

As an alternative, I think you could also discuss with them the option to accumulate funds at Fidelity or Schwab and then do 1035 exchanges from there.

I realize that does not get you any immediate commissions but I think your clients will be better served with one of those options.

very, very true.

only correction I would make is that a 1035 has nothing to do with IRA or Roth funds.

A 1035 exchange only pertains to non qualified annuities going to another new or existing non-qualified annuity or a life insurance policy going to a new life insurance or new non qualified annuity. You can go to Los Angeles (Life to Annuity) but cant go to to ALabama (Annuity to Life).
I believe the correct terminology for your explanation is a Transfer/Direct Rollover/Indirect Rollover/Conversion for your points.

Before you know it, you will be well on your way to be able to start part time selling annuities
 
Also, not that much demand like there was 20-30 years ago as most people have a 401k or Simple IRA at work where they likely should be making IRA contributions to get matches.
Yes, those were available 20 years ago, when I first started selling life with AG. We had a stand alone that allowed for a min $50 month contribution, and a wl with an annuity rider that if I remember correctly, allowed for a smaller contribution. Anyway, both of those products were discontinued in '05.

Good to know that there are similar products still out there. Not that we'll make any real money, but for customers looking for it i.e. independent biz people, and others.
 
The best thing to do is partner with someone who will hold your hand through the process. It is a moving target. It all depends on your clients and what they want. There are a large number of good annuities. It's like a shoe store one size does not fit all.
 
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