Facts Without The Fluff!

Facts without the Fluff – it is a title that is intriguing, but requires context. Today we take a look at the importance of maintaining safe money, how to evaluate your existing financial circumstances, and steps to take for a secure future.

When it comes to personal finance, there is no lack of advice out there. Especially bad advice. And much of that advice being offered today is insubstantial. Given how complicated and unclear today's financial landscape is, the need for non-biased, expert financial advice is greater than ever. You deserve it as an investor looking to attain a secure retirement income, just as much as your family and loved ones do.

At Safe Money Resource, this is the mission we aim for. We do not aim to beat around the bush, only giving you a small taste of what you are truly interested in and searching for. After all, you found SafeMoney.com because you either want to know what “safe money” is or you want to learn how to keep your money safe. Our team is here to help you become educated and confident about your future retirement and being prepared for it.
What is Safe Money?

Simply put, “safe money” is the hard-earned portion of money you cannot afford to lose. For examples:

?    The money that you will rely on every day for the rest of your life, while in retirement.
?    The pension money that most of us are not privy to any longer.  

The days in which you worked for a company for years and, in turn, the company contributed to your retirement are over. In today's world, many companies ask you to share in contributing to your retirement. Or you are saddled with carrying out this task by yourself. With this change in dynamics in personal finance, how do you keep this money “Safe”?

?    Don’t put all your eggs in one basket.
?    Have a basic understanding of asset allocation.
?    Build a basic understanding of diversification.
?    Possess a basic understanding of your investment choices – what are the differences between “guaranteed and non-guaranteed” income options.

Ask the Right Questions
Start out by asking yourself these questions:

?    What investment products do I currently own?
?    From a basic standpoint, how do they work?
?    Are they individually meeting my expectations by asset class?
?    Are any or all of my retirement accounts at risk of loss?
?    When was the last time my advisor called me?
?    Do I have an advisor?
?    Is my advisor an independent agent? Can he or she offer me a wide, diverse product selection from multiple providers?

Getting the Rest of the Facts: Taking Action

Once you have quizzed yourself on the basics, then it is time to quiz your advisor. For educating yourself on the importance of financial education, asking your advisor the right questions, complete details on annuities, and more, check out our comprehensive e-book.

To get you started on the right path, here are some very important questions you must ask if you think you own an annuity:

?    Do I own a variable annuity? Or a fixed annuity?
?    Is my cash account or principal account at risk?
?    What was my initial interest rate and how long is it guaranteed?
?    Are my gains locked in every year, no matter what?
?    What is the guaranteed minimum interest rate? Does it cost me anything?
?    What has my annual renewal rate been? Does the insurance carrier publish those renewal rates?
?    Can I get a partial withdrawal without paying surrender charges for reasons such as death, confinement in a nursing home, or a terminal illness?
?    Is there a market value adjustment (MVA) provision in my annuity? Please explain (if needed)?
?    What other charges, if any, have been deducted from my premium or contract value?
?    Is there a guaranteed income account value? Can I get that value in one payment? How does it work? What has it cost me? And what is it costing me?
?    If I access an emergency withdrawal, will that negate my income account value growth or income account?
?    Is there a death benefit? How is it set? Can it change?
?    What income payment options can I choose? Once I choose one payment option, can it be changed?
?    Are there withdrawals, or surrender charges, or penalties if I want to end my contract early and take out all of my money. If so, how much are they?

These questions are not intended to scare you or to be intimidating.  If for any reason you are unsure of whether or not you own an annuity and are not comfortable asking your current advisor, you are free to contact us directly. We are more than capable of communicating these questions on your behalf to your current advisor in order to clarify your expectations are being met.  Give us a call today at 877.GROW.SAFE today!