U.S. CitiesCity-Data Forum Index
Go Back   City-Data Forum > General Forums > Retirement
 [Register]
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
View detailed profile (Advanced) or search
site with Google Custom Search

Search Forums  (Advanced)
Reply Start New Thread
 
Old 04-11-2014, 05:51 PM
 
71,583 posts, read 71,730,589 times
Reputation: 49178

Advertisements

No where did i say the op should buy an annuity. He asked about annuities and the answer he got from me was about how annuities can be used and integrated in to a plan. That is not telling him to buy one.that is just data from studies and research by others.
Reply With Quote Quick reply to this message

 
Old 04-11-2014, 05:54 PM
 
1,831 posts, read 2,137,324 times
Reputation: 2602
Stay away from annuities. There are too expensive and are really not needed today.
Reply With Quote Quick reply to this message
 
Old 04-11-2014, 05:55 PM
 
Location: North Idaho
2,172 posts, read 2,083,611 times
Reputation: 2599
Quote:
Originally Posted by Garthur View Post
My Fidelity rep tried to sale my a managed investment package which was a 50% invested in equities and 50% in a annuity that paid 2% a year for 5 years. Here's the questions that I asked and the answers that I received.

1. Which insurance company is going to back the annuity? He informed me that the company was in Massachusetts.
You should always check the A.M. Best rating on the insurance company issuing the annuity. IMO, should be at least A or better or I wouldn't go there.


Quote:
Originally Posted by Garthur View Post
2. Does this insurance company have insurance encase of their financial failure? He said that they have no failure insurance.

3. So can I lose all my money if the insurance company fails? His answer was yes, but he said this would never happen.
Most states insure annuities, so check the state in which you live to understand the situation in that regard. Sometimes there are limits on how much they will insure, which may drive you to take out more than one annuity.

For people considering large annuities it's sometimes recommended to take out 2 or more smaller annuities from different companies to diversify the risk.

Quote:
Originally Posted by Garthur View Post
I made the decision not to let Fidelity manage my money. That was 9 months ago and I have not changed my mind on.
Probably a good decision!
Reply With Quote Quick reply to this message
 
Old 04-11-2014, 06:31 PM
 
Location: Maryland
1,534 posts, read 3,781,840 times
Reputation: 2307
mathjak107: So - no response to my simple questions??? An ancient Marine Corps wisdom - no guts, no glory. Silence speaks for its self.

Last edited by Pilgrim21784; 04-11-2014 at 07:00 PM..
Reply With Quote Quick reply to this message
 
Old 04-11-2014, 07:21 PM
 
Location: Columbia SC
8,969 posts, read 7,741,639 times
Reputation: 12169
Sar

I have not read all the replies. Have you considered staying where you are? Forget retiring/relocating at this time. Hubby getting most any job he can make do at. Waiting until he is 65 and you 62, then retiring.

If your job is secure then staying where you are might make sense for the next 4 years especially if he can find a reasonable job and your job benefits cover medical.

I would rather take my chances someplace I know well (support and contact network) then take a chance on finding jobs in a new place even if a lower cost of living location.

Do your homework on annuities. They are not as attractive as those selling them make them out to be.

Hope this helps
Reply With Quote Quick reply to this message
 
Old 04-11-2014, 09:33 PM
 
2,980 posts, read 2,705,274 times
Reputation: 5631
Quote:
Originally Posted by mathjak107
any financial planner who makes a broad comment like annuities are bad is not someone i would consider at the top of their game and in tune with what new data and current research is teaching .

Quote:
Originally Posted by mathjak107 View Post
No where did i say the op should buy an annuity. He asked about annuities and the answer he got from me was about how annuities can be used and integrated in to a plan. That is not telling him to buy one.that is just data from studies and research by others.


You are correct in that every product has its place, including annuities. Ric Edelman speaks many words of wisdom, but he is wrong this time, because there are times, maybe few and far between, where annuities are needed. Unfortunately, annuities are recommended much more often than they are needed.

Ric Edelman's show is syndicated and comes on at different times in different markets. Go to his website: www.ricedelman.com and click on "radio" and it will give a list of stations and what time his show is broadcast, most of which you can listen to online.
Reply With Quote Quick reply to this message
 
Old 04-11-2014, 11:22 PM
 
Location: VT; previously MD & NJ
2,202 posts, read 1,346,551 times
Reputation: 6336
Quote:
Originally Posted by saralvr View Post
I want to thank all of you for your input. We have a LOT of reading and research to do. I did find a fee for service independent financial advisor that we will be going to in the near future. There will be a gap of needed income and we have to find a way to close that gap. We are both skeptical of annuities, but have started to realize that in some situations they are worthwhile. I wish we weren't in this situation, but we are. After finding this site last summer I started a montly expense report. It has helped tremendously because we can accurately show where we are spending and how much our expenses are. But it is so scary when suddenly you are in this situation. Again, thank you for your help.

SaraLvr
Glad you are going to an independent adviser. I had a Fidelity 401K that I rolled into a Fidelity IRA when I retired. My Fidelity adviser also tried to sell me an annuity. When I asked for other options, he seemed annoyed that I wanted him to do some real advising. He gave me a long list of funds to buy. Didn't explain anything about how my investments would be balanced with those funds, or why he picked the funds he did. I got the feeling he got the list of funds from a coworker. Needless to say, I didn't listen to him.

Try not to panic... you will work it out in time.
Reply With Quote Quick reply to this message
 
Old 04-11-2014, 11:29 PM
 
Location: VT; previously MD & NJ
2,202 posts, read 1,346,551 times
Reputation: 6336
Quote:
Originally Posted by johngolf View Post
Sar

I have not read all the replies. Have you considered staying where you are? Forget retiring/relocating at this time. Hubby getting most any job he can make do at. Waiting until he is 65 and you 62, then retiring.

If your job is secure then staying where you are might make sense for the next 4 years especially if he can find a reasonable job and your job benefits cover medical.

I would rather take my chances someplace I know well (support and contact network) then take a chance on finding jobs in a new place even if a lower cost of living location.
This is good common sense advise.
Reply With Quote Quick reply to this message
 
Old 04-11-2014, 11:35 PM
 
Location: VT; previously MD & NJ
2,202 posts, read 1,346,551 times
Reputation: 6336
Quote:
Originally Posted by saralvr View Post
but unless I get health insurance for us through a job, that is where the bulk of our money will be going.
Don't forget healthcare.gov. With only you working, you might check to see if you qualify for a subsidy. You can enroll anytime if you have a change in circumstance (e.g., losing a job).
Reply With Quote Quick reply to this message
 
Old 04-12-2014, 06:50 AM
 
Location: Mount Airy, Maryland
10,461 posts, read 5,928,514 times
Reputation: 16156
Yes I was going to suggest Healthcare.gov as well. If times are bad and you are in relative good health you may want to consider a high deductible plan that will cover catastrophic events but maintain reasonable premiums.
Reply With Quote Quick reply to this message
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.

Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.


Reply
Please update this thread with any new information or opinions. This open thread is still read by thousands of people, so we encourage all additional points of view.

Quick Reply
Message:

Over $104,000 in prizes was already given out to active posters on our forum and additional giveaways are planned!

Go Back   City-Data Forum > General Forums > Retirement
Follow City-Data.com founder on our Forum or

All times are GMT -6.

2005-2019, Advameg, Inc. · Please obey Forum Rules · Terms of Use and Privacy Policy · Bug Bounty

City-Data.com - Archive 1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, 21, 22, 23, 24, 25, 26, 27, 28, 29, 30, 31, 32, 33, 34, 35 - Top