- 1,926
Assume someone is age 55, has 100,000 of retirement savings, plans on taking income at age 65, fearful of losing principal in equities, desires potential higher returns than CD's. What product would you recommend?
Index Annuity Recommendation
- Thread starter bluemarlin08
- Start date
-
- Tags
- annuity
- 8,707
Oh boy, I'll give you some ideas but I guess you would know what your client wants to do better than we would.
You mention take income at age 65 what percentage or dollar amount will he want? Will he desire the ability to take say a 5% income stream while still wanting to pull out additional sums...
I think you might be headed in the right direction with an FIA probably 10 year surrender as we have the time frame for it....but I just don't know enough about the client to pick the best product for him.
- Thread starter
- #3
- 1,926
This is just generic, trying to get a feel from real agents on products they use. Currently looking at the Aviva product that has an accumulation bucket at 8% that income can be taken from. Haven't looked at IA in several years and understand products have changed. Thanks in advance for help.
- 429
- Thread starter
- #5
- 1,926
State is Tennessee and Florida
- 2,455
LSW Premier 3 with an income for life rider on it. Gives the client a 3% bonus right of the top. They can take the 3k and go out and do as they wish with it or apply it to the 100K initial deposit. Right now the roll-up rate is 8.15% on that product, only good through the summer.
Here is there guaranteed monthly payout if they let it sit for 10 years then start taking income: $912.12 per month, for the rest of their life........eventually they will drain the account value but it would take some years. Nobody has that crystal ball to know what the actual account value would be unless I guess they just put all the money in the fixed bucket. This annuity can utilize the index.
That payment will never decrease though.
Here is there guaranteed monthly payout if they let it sit for 10 years then start taking income: $912.12 per month, for the rest of their life........eventually they will drain the account value but it would take some years. Nobody has that crystal ball to know what the actual account value would be unless I guess they just put all the money in the fixed bucket. This annuity can utilize the index.
That payment will never decrease though.
- 429
So at $912.12 a month it is $10,945.44 a year. They get that for the rest of their life? Husband and wife?
- 2,455
He never asked about two people. He asked about someone age 55 yada yada yada
If you want a joint rider the income would go down. So let's say the people were the same age then this would be the amount: $845.54
Yes, that is the payment per month for the rest of their life, even if they live to be 120 years old and the account value is zero.
$912.12 per month for single. $845.54 for joint. It will never decrease. It could go up but not likely.
If you want a joint rider the income would go down. So let's say the people were the same age then this would be the amount: $845.54
Yes, that is the payment per month for the rest of their life, even if they live to be 120 years old and the account value is zero.
$912.12 per month for single. $845.54 for joint. It will never decrease. It could go up but not likely.
- 185
10 years of deferral and an income rider?
There are plenty of options. If they truly only care about the income amount when the rider kicks in, than LSW ok. LSW is offering 8.15%, but they also lowered the payout percentages. Very tricky marketing ploy - basically the same as the old 7% roll-up.
For the highest payout, there are other companies that offer better bottom lines after 10 years. RBC, Midland, American Equity to name a few.
There are plenty of options. If they truly only care about the income amount when the rider kicks in, than LSW ok. LSW is offering 8.15%, but they also lowered the payout percentages. Very tricky marketing ploy - basically the same as the old 7% roll-up.
For the highest payout, there are other companies that offer better bottom lines after 10 years. RBC, Midland, American Equity to name a few.
- 1,271
Pardon my ignorance but what's the use of guaranteed income rider in a historically low interest rate environment? Which has better odds - rate going up or going down in 10 years? Me thinks I'll just save fees and annuitize in 10 years.
