by Gina Lynell Smith

Did you know that annuities have been around since before the first depression? Did you know that no one ever lost money with a fixed annuity?

Let’s think about annuities for a moment. If you have a 401k, an IRA, a CD or savings account for which you have to pay taxes on the interest or stocks that are currently dwindling your money away, then I suggest rolling it over into a fixed annuity. You could roll it over into an indexed annuity, but if you are my age–you probably want to make sure you are hedging your money against inflation as best as you can. Again, I think fixed annuities are a good way to do that.

I happily just turned age 50, and I am still working. In fact, just moved from the insurance office in Alameda, California to a new highly reputable office in Oakland, California. I will soon be contacting the 617 people on my two lists, and this is what I plan to tell them…

We spend so much time protecting the loss of our car and our house with insurance, especially because we are required by the DMV or the Lenders. Shouldn’t we spend just as much time equally protecting our life and future income?

People often say Life insurance is a waste of money–but actually it protects you and your family income in several ways–It shows your bank and potential lenders that you are a safe risk. In fact, if the lender gives you a loan and you put the lender on your life insurance policy as a contingent beneficiary or the lender attaches your life insurance policy as a lien–the lender gets their money back even if you pass away. More importantly, if the life insurance is enough to cover the balance of the mortgage, the lender gets their money, and your family keeps the house–no foreclosure. The same safety net can be used to protect your business to continue to produce an income for your family when you pass away. Did you know that you can take a separate insurance policy on yourself and put your business as the beneficiary? Yes you can! And again doing so, gives the Business Lenders the safety they need to give you a business loan.

Now, do not worry about the cost of life insurance–instead take out an annuity that pays you enough interest accumulation that is equivalent to or more than your life insurance premiums.

The benefit of annuities is that they can be tax deferred whereas a CD, Treasury Bill or Savings Account is not. If you want to reduce your annual taxes and increase your income at the same time, and get life insurance essentially for free–a fixed annuity is a safe way to do it all.

Live happily and wealthy!

You can email me at gina.kmcguire@farmersagency.com