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Comparing Myga Interest Rates to Spia Rates: Shootin' It Straight With Stan

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Manage episode 521280641 series 2798004
Content provided by The Annuity Man. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by The Annuity Man or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

In this episode, The Annuity Man discussed:

  • Distinguishing annuity types

  • Applying the PILL strategy

  • Interpreting annuity yields

  • Securing contractual understanding

Key Takeaways:

  • Understanding the purpose of different annuities is crucial: MYGAs provide guaranteed interest on principal like a CD, while SPIAs deliver a lifetime income stream tailored to longevity. Each serves a distinct financial goal.

  • The "PILL" framework—Principal protection, Income for life, Legacy, Long-term care—helps determine whether an annuity aligns with your needs and long-term planning priorities.

  • Evaluating yields requires nuance: MYGA interest compounds tax-deferred without reducing principal, whereas SPIA "rates" reflect life expectancy and combine principal with interest, making direct comparisons misleading.

  • Before purchasing, ensure you fully understand an annuity's contractual guarantees, avoid relying on hypothetical rates, and seek reliable sources for accurate information to make informed decisions.

"We're looking at a principal-protected product and an income product. Now right there. You should say, I'm not sure we can compare those two… because [they're] two different categories." — Stan The Annuity Man

Connect with The Annuity Man:

Website: http://theannuityman.com/

Email: [email protected]

Book: Owner's Manuals: https://www.stantheannuityman.com/how-do-annuities-work

YouTube: https://www.youtube.com/channel/UCCXKKxvVslbeGAlEc5sra2g

Get a Quote Today: https://www.stantheannuityman.com/annuity-calculator!

  continue reading

382 episodes

Artwork
iconShare
 
Manage episode 521280641 series 2798004
Content provided by The Annuity Man. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by The Annuity Man or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://podcastplayer.com/legal.

In this episode, The Annuity Man discussed:

  • Distinguishing annuity types

  • Applying the PILL strategy

  • Interpreting annuity yields

  • Securing contractual understanding

Key Takeaways:

  • Understanding the purpose of different annuities is crucial: MYGAs provide guaranteed interest on principal like a CD, while SPIAs deliver a lifetime income stream tailored to longevity. Each serves a distinct financial goal.

  • The "PILL" framework—Principal protection, Income for life, Legacy, Long-term care—helps determine whether an annuity aligns with your needs and long-term planning priorities.

  • Evaluating yields requires nuance: MYGA interest compounds tax-deferred without reducing principal, whereas SPIA "rates" reflect life expectancy and combine principal with interest, making direct comparisons misleading.

  • Before purchasing, ensure you fully understand an annuity's contractual guarantees, avoid relying on hypothetical rates, and seek reliable sources for accurate information to make informed decisions.

"We're looking at a principal-protected product and an income product. Now right there. You should say, I'm not sure we can compare those two… because [they're] two different categories." — Stan The Annuity Man

Connect with The Annuity Man:

Website: http://theannuityman.com/

Email: [email protected]

Book: Owner's Manuals: https://www.stantheannuityman.com/how-do-annuities-work

YouTube: https://www.youtube.com/channel/UCCXKKxvVslbeGAlEc5sra2g

Get a Quote Today: https://www.stantheannuityman.com/annuity-calculator!

  continue reading

382 episodes

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