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Stan The Annuity Man is an annuity specialist and nationally recognized annuity expert. With over 20 years of experience in the financial services industry, Stan has developed unique proprietary and trademarked annuity strategies that have been adopted throughout the annuity industry.
Stan The Annuity Man specializes in providing clarity and best-fit annuity options customized to deliver the guaranteed portion of your portfolio, while using the top-of-the-line, centralized quote systems to find you the highest contractual payouts possible. As an independent (non-captive) annuity resource, he focuses on asset protection and solutions for lifetime income, legacy, and full control long-term care.
Stan The Annuity Man: The reason that I burned the boat and became Stan The Annuity Man was to become the national “consumer advocate” for annuities. Most annuities are sold within a 30 mile radius from where the agent or advisor lives, and there really wasn’t a go to objective resource. The “sales malpractice” involving annuities is appalling and the industry has earned its bad reputation. My goal has continued to be to tell the truth about these products so that people can make an informed decision. I have a nationwide client base and am consistently speaking across the country on how annuities can fit into someone’s portfolio, and if an annuity is even right for a specific situation.
MO: Can you provide our readers with a basic understand of different types of annuity products and how they work?
Stan The Annuity Man: Annuities are “transfer of risk” products. It is a contractual guarantee that is made between you and the insurance company to solve for goals like lifetime income, principal protection, legacy planning, and long term care. Annuities are customizable, and there is no “one size fits all” product, even though that’s how they are usually sold. Income Annuities can provide lifetime income starting immediately or deferred till a later date. Fixed Rate Annuities can provide a fixed % similar to a CD. Variable Annuities provide tax deferred market growth using separate accounts (mutual funds), and the taxes on growth are deferred until the money is taken out of the annuity. Charitable Annuities can provide a lifetime income stream with taxable benefits and a future gift to your chosen charity. Some annuities are also designed for Long Term Care coverage while allowing you to retain full control of the asset. There are many more machinations, combinations, and strategies that I use, but this is the basic elevator speech on “types of annuities.” The key is to own an annuity, and base 100% of your buying decision on the contractual guarantees provided within the policy. Own an annuity for What It Will Do, NOT for What It Might Do.
MO: What inspired you to write “The Annuity Stanifesto” and what do you hope that the average reader walks away with?
Stan The Annuity Man: I was motivated to write “The Annuity Stanifesto” because there was nothing available for the consumer to learn about annuities without feeling like they were being sold. My book has really struck a positive cord with not only consumers, but agents/advisors as well, because it is an in your face truth resource that can be used as a foundation for the entire annuity industry. The average reader of “The Annuity Stanifesto” will know if an annuity strategy will fit and compliment their current specific situation. You will “get it” if you read it.
MO: Have you always had an entrepreneurial spirit?
Stan The Annuity Man: Yes. Even when I was with the big Wall Street firms, I was always forming internal teams and groups that successfully marketed our strengths. Unfortunately, the longer I stayed with the wire house firms, the less “entrepreneurial” they were allowing you to be. I left to become Stan The Annuity Man to “take it to the next level” from a marketing and branding standpoint and have the freedom to frame the message the way I wanted to do it. The annuity industry is the ultimate challenge from an entrepreneurial standpoint because of all of the misleading messages promoted by most agents and advisors who sell annuities.
MO: What are some misconceptions that people have about annuities?
Stan The Annuity Man: The biggest misconception is that if you own an annuity, and if you die, the insurance company keeps the money. That is just not true. I structure all of my annuity strategies to leave 100% of the money to the family or listed beneficiaries. Another misconception is that all annuity fees are high. That is true only with Variable Annuities, which is the reason that I primarily use Fixed Annuities for all of my solutions. Fixed Annuities have very low fees. The other major misconception is that when you start taking income from an annuity, you lose access to the lump sum dollar amount within the annuity. That is only true with Single Premium Immediate Annuities. With Deferred Fixed and Deferred Variable Annuities, you retain full control of the asset even when you are receiving a lifetime income stream.
MO: What’s the most exciting thing for you on the horizon personally or professionally?
Stan The Annuity Man: I have a lot of exciting things that will be happening in the next few months and beyond. I am getting ready to release Stan The Annuity Man iPhone and iPad apps by the end of 2012. I also have another book that will be released sometime in 2013 that will fully explain all of my unique strategies that I use. Additionally, the Charitable Endowment Deferred Annuity (CEDA) that I developed is rapidly growing and being implemented by charities across the country. And as always, I look forward to continuing to speak on a national basis about the good, the bad, and the truth about annuities, while continuing to create unique materials to help the public understand these sometimes complex products.