Photoshop contests at Mechapixel | Forums
 
The golden bit is back!
Gain exclusive benefits and help support Mechapixel with Mecha+
Learn more - Subscribe
HomeContestsQueueShowcaseArcadeForumsMembersAboutContact
'Dragnet' by monkeyknife
Go Back   Mechapixel Forums > Main > General
Post New Thread Reply
Thread Tools
Unread 2011-03-08, 20:20   #1
kokopelli's Avatar
kokopelli
Administrator

Feb 4 2003
6,477 posts
Male
Stavromula Beta
 



As a Social Worker by trade, I'm financially ignorant. No need to understand money when you have no chance of making it, I figure. My folks, however, are trying to figure out annuities. I guess they were thinking of putting some $$ into CD's, but the rates for those aren't too special these days, I guess. So, someone at the Credit Union suggested a variable annuity, versus a fixed annuity. I think seven year term. Dad is almost 72, Mom is 69. Anyone understand this stuff?

Edit: Specifically, they mentioned a "Lincoln ChoicePlus Assurance" variable annuity from Lincoln Financial.

Bonus points for making this easy enough for a Social Worker to understand.
Reply With Quote
Unread 2011-03-09, 10:58   #2
B L's Avatar
B L
Member

Jun 11 2005
2,473 posts
Age 54
Male
a whale's vagina
 



My understanding is that with a fixed annuity you put in a certain amount and you are given a certain amount back on a regular schedule until you leave the planet. I've never had one and never plan to, but I don't think the idea is inherently bad.

This page has a pretty simple explanation. I suspect anything simpler will leave out important information. I'd never heard of the equity annuities. That might be newish. I would think that if you're a person looking into an annuity then you're probably only comfortable with fixed. That's my impression. People go to them for the security of a steady income.

Wish I could be of moresome help.

Last edited by B L; 2011-03-09 at 12:16.
Reply With Quote
Unread 2011-03-09, 11:25   #3
ash#'s Avatar
ash#
Moderator

Nov 1 2004
9,928 posts
Age 47
Male
One of those indoor shopping malls
 



An annuity does not go on forever... the length of the payback is laid out in the annuity contract... You pay in for a number of years... they you get paid out for a number of years. Or you pay a lump sum up front, and you get paid out for a number of years. There is something called a perpetuity that does the payout forever...

Variable annuities are tied to a market index so that in theory the payments can grow over time, but they can also shrink. So bigger risk/reward potential.
Reply With Quote
Go Back   Mechapixel Forums > Main > General > Someone learn my ass about annuities
Post New Thread Reply

Thread Tools

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off


All times are GMT -5. The time now is 23:45.

Powered by vBulletin®
Copyright ©2000 - 2019, Jelsoft Enterprises Ltd.