Bohemia, NY (PRWEB) November 29, 2012
On November 29, 2012, Savings2Income releases a statement following a New York Times article by Paul Sullivan regarding the possibility of a tax increase resulting in people rushing in to invest in variable annuities.
According to the New York Times article, “With all the ominous talk of tax increases and a ‘fiscal cliff’ if President Obama and Congressional leaders can’t agree on a plan to avert automatic tax increases on Dec. 31, some investors may be tempted to act soon to take advantage of the current tax rates.” The article states that financial advisors are warning investors that their rush to do something may leave them with regret. The article mentions one of the short-term decisions that can lead to long-term problems is insurance and annuities.
The article reports that annuities are an area where people can avoid taxes and may head in that direction for those reasons. According to Beth Gamel, executive vice president at Pillar Financial Advisers, “Annuities are among the most complex investment products there are. If we only have between now and Dec. 31, we don’t have enough time to assess them.”
Savings2Income offered their thoughts and advice on the discussion of variable annuities raised in the article. “The comment in this article that ‘annuities are among the most complex investment products’ is like saying all voters made up their minds in the last week of the campaign. True for some but not for all,” says Savings2Income founder, Jerry Golden. “Considered the inventor of the modern variable annuity, I can admit that certain new designs can be unfathomable to the average investor.”
On the other hand, Golden explains that certain no-load/no frills variable annuities offered by the likes of Fidelity, Vanguard and TIAA-CREF are elegant in their simplicity. Golden describes them as “low cost investment accounts for personal savings that grow tax deferred and that can be exchanged to other annuity contracts providing Guaranteed Income.” Golden intends to add to his no load variable annuity account before year end.
An innovative retirement planning method called Savings2Income (S2I) created by Jerry Golden seeks to provide a clear path to retirement security for those saving for retirement, soon to retire, and recently retired. S2I incorporates Roller IRA savings, personal retirement savings held outside an IRA or 401(k) plan and Social Security into an integrated solution.