Annuity Solutions are Easy
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I don’t know everything about annuities but I do know a lot. Certain technical rules or regulatory changes trip me up on occasion but that’s part of the continued evolution required to become the best advisor possible. The average person who comes here doesn’t know too much and I’ve said multiple times that most of it is because someone else told them to buy an annuity. Tunnel vision is the problem with that. If you don’t know much about annuities, how would you know if a single product is the right answer.
“Just Tell Me What To Do” – The Trust Hurdle
Last week during a second meeting with a guy, he said, “I wish someone would just tell me what to do.” That does sound convenient and it’s certainly something I’m capable of doing but most people don’t have that level of trust in someone they don’t know. He probably wasn’t an exception to that. It’s not something very hard for me to do, so long as you tell me exactly what you want and you have plenty of money to work with. 20 years of experience have put me in position to be able to come to quick conclusions.
It’s not just 20 years of having a license. My path has been quite different from most others. Content creation and video production have taught me how to communicate, not to mention how much more I learn by doing it so many times. Thousands of case studies mean that I’ve probably seen a situation just like yours on at least a hundred occasions. It may seem easy but it has been a lot of work to get here. You only get to do this once and most people need more justification for a recommended path. Annuity solutions are easy but convincing people of that is hard.
Income products are obviously the easiest ones to figure out. A database aggregates everything so all I have to do is put in the variables and it spits out the top products. Anybody could do that but experience is helpful to determine which company is best and which contract might have better components. People don’t always buy the highest payout. Sometimes it’s because they never see it and others because a lower paying contract has something else they like.
Why It Takes You a Year to Call Me – The Long Road to Trust
Lots of people on this website have been around for more than a year before they contact me. If you read several newsletters or watch a bunch of podcasts, you may or may not find your solution in the examples I provide. But when we meet and I come to a conclusion quickly I think people pause because they expect the process to be harder.
Most of the time this happens when I destroy a proposal from another advisor. We get rid of bonuses and sales pitches and arrive at a simple solution, only to pause because it can’t be that easy, right? You don’t know what you don’t know.
Here’s Recent 50% Income Increase I Found For A Podcast Listener
There’s another recent story about someone who has been following the podcast for a couple years and has probably listened to almost all of them. She bought a deferred income annuity in 2009, the income is capped and it has been surrender free for several years now. She is not ready to take income and will get nothing more from the contract by waiting a couple more years. Well, the nice thing is that interest rates are much higher now than when she bought it so maybe she can get more income from a new product.
Her ultimate goal is maximum income so it’s worth looking at and only takes me a few minutes to figure out. It just so happens that she can switch to a new product with ⅔ of the money and match the income expected from the current contract. And the new contract will increase even higher if it’s deferred for a couple of years. If the whole thing was changed over it would result in a 50% income increase for getting the new contract. You all know I prefer flexibility so I would recommend going with the smaller amount and keeping a nice chunk of cash available for other planning opportunities or maybe just a nice emergency fund.
I don’t mean to single this person out because we are only a few weeks into the conversation and everyone has other things in life that deserve time and attention. But the point is that you could also be sitting on an opportunity for a while and not realize a dramatic improvement is easy for me to find. It doesn’t always happen like this but it’s not uncommon. My point in sharing this is to let everyone know that I don’t take my position for granted.
You should also realize these questions are easy for me not because your case isn’t important, rather I’ve seen it so many times that it comes easier to me.
It’s not too much different than a mechanic fixing your car. A novice would take more time doing it but a professional will do it right more efficiently.
My job as a retirement advisor is a blessing and I’ve put in the work to get to this point. I don’t take any of you for granted and I am grateful for all the opportunities that come my way. I will always put focus on making sure you know the reasons behind what I recommend. Annuity solutions may be easy for me but it wasn’t easy to get here.
Have a great weekend!
Bryan
Watch The Full Podcast Episode: Annuity Solutions Are Easy
Last Updated on September 21, 2023 by Bryan Anderson
Great points. For various reasons, I need simplicity. Found that after speaking with Bryan Anderson, though I didn’t recognize it right away because ‘this has to be more complex’.
Perhaps not being an expert in a matter that can catalyze dramatic life events, called up a fear of the unknown? At which point, a calm chat with the inner voice talked me down a metaphoric tree I scrambled up to avoid discomfort. Not listening to armchair wannabe experts was helpful.
A certain level of trust with someone knowledgeable must exist. Where does that begin? I think learning some terminology helps, and absorbing what I could from non-AI information sources.
While no one can know everything or predict what the monetary powers that be will do, establishing a client-investor relationship with someone who acquired appropriate education, experience, who listens well, and investigates possibilities, is invaluable. If a question arises, now I have a comfortable human source of information to draw from.
Thank you, Bryan. Thank you also for creating a valuable learning experience on your website.