Comments on: Keep Pace With Inflation in your Life Annuity

By: Which Annuity Pension

Which Annuity Pension — Sun, 02 Oct 2011 21:36:55 +0000

[...] = ''; } Not using a Pension Annuity Calculator and other common Annuity mistakesLife AnnuityNot using a Pension Annuity Calculator and other common Annuity mistakesLife [...]

By: payday loans direct

payday loans direct — Wed, 01 Dec 2010 11:57:39 +0000

Just have the complete satisfaction with the insurance salesperson and there is no doubt, that planning for further investments then annuity is most appropriate option for your finance. While purchasing the product be careful and make use of your brain.

By: bigpappy

bigpappy — Tue, 06 Jul 2010 15:49:34 +0000

People can create their own inflation protection using a regular life annuity with no COLA. Set aside a portion of each monthly payment and invest it into a TIPS fund. Reduce the amount set aside each month until the set aside is zero after which you begin drawing down funds from the TIPS fund.

There are different ways to come up with the “formula” for the set aside and there is no perfect method, but neither are these arbitrary COLA rider amounts.

By: Ralph@ Final Expense Insurance

Ralph@ Final Expense Insurance — Thu, 03 Jun 2010 05:16:27 +0000

Annuities are a great financial tool if used properly. They are also not right for every person. Please use common sense when buying these types of products.

Make sure you are completly comfortable with your insurance salesperson. These types of transaction can indeed be very rewarding if used in the right situation.

By: Wholesale ed hardy

Wholesale ed hardy — Fri, 05 Mar 2010 08:20:55 +0000

Projected life expectancy is important here. Younger clients are actuarially likely to live longer and therefore have on paper a greater chance to benefit from many years of escalation.

By: City Investments

City Investments — Sun, 25 Oct 2009 11:15:40 +0000

We have similar problems when advising retirement clients in the UK on their retirement planning. Inflation is clearly a major problem for all retired clients. However the cost of purchasing some inflation protection – be it RPI or an arbitrary figure such as 3% PA is extremely expensive. On average it can take some seven years for the income to rise to the level of an annuity without escalation. Clearly then it would take some time for the income increase to such a level that would be sufficient to claw back the income given up in the first seven years.
Projected life expectancy is important here. Younger clients are actuarially likely to live longer and therefore have on paper a greater chance to benefit from many years of escalation.