November 23, 2016
I recently read an article about a woman in Bowling Green, KY, who at the ripe young age of 105, just ran out of money.
Audrey Roberts, who reportedly turned 105 back in October, told her family and friends that her life savings of $180,000, money which she had been drawing on for years, had recently run out. The article said that all she is living on is $970 a month from social security.
Ironically, several months ago I talked about an article taken from a speech delivered by “Wall-Streeter” who posed the following question to peers: What happens when our clients turn 105?
Now, we know the answer: when you live to be 105, the money runs out, unless you are one of the lucky ones who saw the merits of including an annuity in your investments.
You see, annuities are simply financial tools or concepts that guarantee an income you can never outlive. So, when you hear people on Wall Street say that they hate annuities, ask them what one of their own asked them: so, what happens when your clients live to 105?
Evidence of this fact of annuities is our very own social security system. A system we all too often bash, but in the case of Ms. Roberts, is still there for her, plodding along with the proverbial Mailbox Money we have come to love. And therefore, all of you who can fog a mirror should consider adding annuities to your overall retirement strategy. Because like social security, annuities are the only guaranteed instrument that can give you peace of mind to not run out of money.