America is waking up to annuities

By Paul Cross

Annuity National Brokerage Co.


America, shocked awake in financial recession, finds itself in bankruptcy.

The government of the wealthiest nation in the world is bankrupt at all levels, and is now bankrupting the people — 1.4 million thus far in 2010. The government is driving at a reckless, unprecedented pace, spiraling out of control, and crashing the financial well-being of present and future generations of American citizens for an unknown cause.

The national debt and unfunded liabilities now exceed $500,000 per citizen, and for a young family of four, their share is more than $2 million! And the amounts are increasing at alarming rates. Home foreclosures exceeded 990,400 in 2010 before the moratorium was placed on home foreclosures.

Again, let us not overlook the staggering number of bankruptcies, which exceed 1.4 million thus far in 2010. The official number of unemployed now exceeds 14.6 million, while more than 42.9 million Americans currently receive food stamps.

Before we continue, let me address those who want supportive documentation and those who may be inclined to protest my opening statements.

We need a responsible cruise control on government spending

Please go to www.usdebtclock.org, where you can review the American financial crisis in real time, and then draw your own conclusion. Take a look at federal spending and see if you agree with me; we need a responsible cruise control on government spending.

So what can we do about it? Relative to the financial tsunami, financial university studies and economists around the globe have concluded there is nothing we can do except to make provision for ourselves, individually.

In the 1700s, Samuel Johnson said, “It is better to live rich than to die rich.” However, very cautiously, he also said, “The first years of man must make provision for the last."

My translation: With streams of income guaranteed for life, we can live a richer lifestyle without fear of outliving our money.

America is awakening to the real benefits of annuities

A growing number of studies and economists are concluding that income annuities can provide an income for life, at a cost as much as 40 percent less than that of a stock, bond and cash mix.

While many were catching on to the real values of income annuities, the annuity companies again were a giant step ahead of financial professors and economists with the introduction of lifetime income benefit riders. The lifetime income benefit riders provide income guaranteed for life, however long, without giving up control of the money.

What about that other 40 percent?

If annuities can assure a stream of income for life at a cost as much as 40 percent lower than a stock, bond and cash mix, what better place than a deferred annuity to grow your clients' money for increases in retirement income and a probate-free inheritance for their heirs? And, at their election, the remaining balance may be paid out in streams of income over beneficiaries’ lifespans without probate, attorney fees and trustee fees.

Today, we are challenged with the greatest opportunity of our career: To help people rest assured of streams of income for life and to safeguard the remainder for their family heirs.