Keeping One Step Ahead of the Curve with Annuties


American consumer debt as at an all time in the country’s history. The average American has 13 credit or debit cards, owing creditors roughly 3,700 dollars. We collectively owe 11.9 trillion dollars, as of 2015, creating many financial challenges for the average American. Being poor is expensive Any person who’s struggled pay check to pay check can attest to how difficult it can be paying bills and trying to live while being several cut hours or an accident away from financial disaster.

Going to college, buying a car or investments, or even saving money seems impossible when you’re poor. However, occasionally life cuts you a break- you gain an inheritance, you win the lottery, or in some other fashion gain a large sum of money. You could spend it all on bills and immediately improve your quality of life. However, it’s easy to lose all of that money quickly. 70% of lottery winners generally lose or spend all of their earnings within 5 years of getting it.

What to do then? Lump sums can be wonderful windfalls, but what is the best use of that money you’re owed? If you sell your structured settlements, who will you turn to? Would selling an annuity settlement be the best financial decision be best for you?

In the case of a lump sum, you should think carefully between keeping the lump sum and selling an annuity settlement. You should know that a structured settlement may save the average person 25 and 35% in state and federal taxes on interest income that would otherwise be subject to tax. On the other hand, make sure the organization you are selling an annuity settlement will give you a good rate, and that you are getting a good deal. It may be tempting to use lottery payments or other lump sum payment money to dig yourself out of debt, but know your options.

Money management style can be a major deciding factor in your decision to sell an annuity settlement. If you’re good with your money and have a good sense of the stock market, a lump sum may be the best option for you. However, if you need more structure, structured payments can be the way for you to go. Selling those settlement payments may be a good way to avoid financial disaster from health risks or other credit issues, but there may be other tax benefits to selling annuity payments. Asking your lawyer is always a good option, and you should take advantage of their services.

Selling an annuity payment is certainly a big decision, and there are people to help you along the way. Selling those payments can certainly be a boon when you’re in a financial bind, but knowing how to approach your finances will help your chances of getting out of debt significantly. Knowing how you manage money may very well be the biggest factor in your decision to sell an annuity settlement.

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