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Nearly one-third of Americans feel tipping culture has gotten “out of control,” according to a recent Bankrate report.
“It’s more than fatigue, it’s irritation,” says tipping expert Michael Lynn.
As the negative sentiment takes hold, some businesses are opting out of digital touch-screen payment systems with predetermined options.

“Honestly, I think the prompt irritates most people,” said Lyn James, owner of Flowers & Cappuccino by Lasting Visions in Bowman, North Dakota.
James said that’s why she opted out of the tip screen when she implemented her store’s contactless point-of-sale system. Although gratuity can vary greatly, “most folks will leave at least a dollar on a latte,” she said.

“If the customer is happy, they are generous with their tips.”

Tip fatigue and tip creep ‘may be understating it’

In most cases, consumers face more opportunities to tip for a wider range of services than ever before, a trend also referred to as “tip creep.” But recent surveys show shoppers are experiencing “tip fatigue” and starting to tip less — while resenting tipping prompts even more.
“The terms may be understating it,” said Michael Lynn, a professor of consumer behavior and marketing at the Cornell University School of Hotel Administration. “It’s more than fatigue, it’s irritation.
“It’s not tip creep, it’s tip gallop,” he added.
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Two-thirds of Americans have a negative view about tipping, according to a recent report by Bankrate, particularly when it comes to contactless and digital payment prompts with predetermined options that can range between 15% and 35% for each transaction — and 30% said “tipping culture has gotten out of control.”
“You have to go out of your way to not tip, and that’s what a lot of people resent,” said Ted Rossman, Bankrate’s senior industry analyst.
Many feel the pressure to tip has increased over the last year, NerdWallet’s consumer budgeting report also found.

You have to go out of your way to not tip, and that’s what a lot of people resent.

Ted Rossman
senior industry analyst at Bankrate

“We’ve had the option of tipping for a long time because of tip jars, but you could kind of ignore it,” Cornell’s Lynn said. “The technology is making it harder to say no, and it’s making it harder to tip a small amount.”
However, fewer consumers now say they “always” tip when dining out compared with last year, according to Bankrate, or for other services, such as ride-shares, haircuts, food delivery, housekeeping and home repairs. 
“During the pandemic, there was a groundswell of feeling thankful; now, a lot of people are saying ‘enough,'” Rossman said.

Some business owners opt out of tips

Lyn James is the owner of Flowers & Cappuccino by Lasting Visions in Bowman, North Dakota

As a negative sentiment takes hold, more business owners like James may scale back on suggested tip amounts or eliminate tip prompts entirely to appease customers, according to Molly Burke, senior analyst at Capterra, covering retail and restaurants. 
“Small businesses can deactivate the tip screen or customize the amounts they show on the tip screen or just ask customers to skip it,” she said.
Matt Vizcaino, owner of Tortugas Homemade Pizza in Birmingham, Alabama, said he and his staff voted to forgo tipping prompts. “I understand some people’s frustrations,” he said. “I do also understand tips are not ‘needed’ in all situations.”
Now diners leave an average of 25% when they dine in, he said, but only about a third tip on carry out, and when they do, the tips average 5% to 10%.

How much the experts tip

Tipping 20% at a sit-down restaurant is still the standard, etiquette experts say. But there’s less consensus about gratuity for carryout or other transactions that didn’t involve a tip at all in the past.
“I often get asked how much I tip, and I don’t,” Lynn said of most point-of-sale tip prompts. “Sometimes you tip to reward good service but only at restaurants do I tip out of obligation.”
“Outside of restaurants, I tip for delivery and if I’ve had a good experience,” he added.  

“You should feel free but it’s still Ok not to tip,” according to Jaime Peters, Maryville University’s assistant dean of accounting, finance and economics. “It really is a tip; it is not obligatory.”
Peters said she primarily tips 20% in a sit-down restaurant, but less for other transactions.
While tipping at full-service restaurants has held steady, tips at quick-service restaurants by guests fell to a five-year low of 16.7% in the first quarter of 2023, according to Toast’s most recent restaurant trends report.
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After federal student loan payments restart in the fall, borrowers will be spared for 12 months from the harshest consequences of falling behind.
President Joe Biden announced the provision easing borrowers back into repayment after the Supreme Court struck down his forgiveness policy.
The Consumer Financial Protection Bureau recently warned that roughly 1 in 5 student loan borrowers could struggle when their payments resume.

U.S. President Joe Biden is joined by Education Secretary Miguel Cardona as he announces new actions to protect borrowers after the Supreme Court struck down his student loan forgiveness plan in the Roosevelt Room at the White House on June 30, 2023 in Washington, DC.
Chip Somodevilla | Getty

Extra protections follow Supreme Court decision

This aid is not another payment pause extension

Former President Donald Trump first announced the stay on federal student loan bills and the accrual of interest in March 2020, when the coronavirus pandemic hit the U.S. and crippled the economy. The pause has since been extended eight times.
The latest announcement by Biden is not another extension of that policy.
Even if the president wanted to prolong the relief, the recent bipartisan agreement to raise the federal debt ceiling included a provision that officially terminates the more than three-year-long pause at the end of August. (Borrowers’ official due date will depend on their loan terms.)

However, borrowers will be spared from many of the usual consequences of missing a payment until October of next year.
For example, loans will not go into default and delinquencies will not be reported to credit reporting agencies, said higher education expert Mark Kantrowitz. Late fees won’t be charged, either.
“The 12-month on-ramp is similar to a forbearance in many ways,” Kantrowitz said.
But as is the case with a forbearance, interest will continue accruing on your debt while you don’t make payments. As a result, Kantrowitz recommends borrowers start repaying their bills, if they can.
“Doing otherwise will eventually hurt them,” he said. More

A majority of U.S. workers say they don’t fully unplug from their jobs, and 17% say they stay fully connected when away from work, according to a recent survey.
Fear of missing out is one reason many professionals stay plugged in or don’t take vacation time. 
Some employers periodically shut down entirely to give employees a chance to recharge.

Melanie Langsett is taking the days around July 4 to relax, catch up with friends and celebrate her son’s birthday. She’s using a benefit her employer, Deloitte, calls “Collective Disconnect” days.
These are times, in addition to other paid time away from the office,  when the entire workforce is off at the same time, giving employees the chance to truly unplug. 

“I’ll be taking full advantage,” said Langsett, the leader of rewards, recognition and wellbeing for Deloitte U.S., in an email. “It’s so important that leaders walk the talk and model behaviors that show that they are using the offerings provided by the organization, and this includes vacation time.”
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The benefits of time away from work

More employers are recognizing the need to reduce employee burnout, as employees report overall better mental health, increased job satisfaction, and being more engaged and productive upon returning from vacation.
Yet it’s still a challenge for many workers to disengage from the office. More than half, 55%, of U.S. workers say they don’t fully unplug from their job, and 17% say they stay fully connected away from work, according to a survey conducted by The Harris Poll of more than 2,000 workers on behalf of Ceridian, a human resource technology company.
“In order to maintain your overall health, you need to take time for yourself time to replenish, time to recharge yourself and time to disconnect,” said Michelle Bonam, Ceridian’s vice president of organizational effectiveness. “And if you don’t disconnect, you don’t truly get that time.” 

Why some professionals don’t take time off

Fear of missing out is one reason why many professionals stay plugged in or don’t take vacation time. 
“The pay-for-performance culture in the U.S. drives the belief that you negatively impact your own performance if you miss out on an opportunity while taking time away from work,” said Langsett.

In order to maintain your overall health, you need to take time for yourself.

Michelle Bonam
vice president of organizational effectiveness at Ceridian

Increased workloads upon return and expectations to attend meetings and return emails on vacation also keep many professionals from taking time to unplug. Stress around increased layoffs can also increase the fear of not being essential. 

Best practices to help employees recharge

Leaders should give clear guidelines for how the work will get done.
“Fundamentally, your job wouldn’t exist if that role wasn’t needed within the organization,” said Bonam. “Work with your employees, to let them know if something is truly critical and you really need them to respond, how you will get in touch with them while they’re on vacation.” 
Managers should also identify the people who can make decisions in someone’s absence.

The benefits and challenges of remote work

Swissmediavision | Istock | Getty Images

Eighty-four percent of employees surveyed say remote work makes it easier to get away. The flip side of that is that it also makes it harder to completely unplug.
“I get the sense that they’re okay with that, because they’re enjoying that flexibility of being able to work remotely,” said Bonam.
Ceridian provides its employees with two wellness days a year, when almost the entire company gets the day off.
It is also working to establish “refresh days” at the team level. “That way, at least the people that you work closely with on an ongoing basis, they’re all disconnected on that day, and that it results in a higher degree of replenishment on those days,” she said. Bonam has already taken a weeklong vacation and has another break planned for the fall.  More

Amid pent-up demand for travel, a record number of people are expected to hit the road this July 4 holiday.
While gas prices are lower than they were last year, they are still high compared to historical averages.
These tips can help drivers save money at the pump.

Kieferpix | Istock | Getty Images

A record 43.2 million people are expected to travel by car this July 4 holiday, according to AAA, the motoring and leisure travel membership organization.
The good news for those drivers is that gas prices around the country are lower than they were last year.

The national average for a gallon of gas is $3.54 as of July 3, down from $4.81 one year ago, according to AAA.
Last year’s high prices prompted politicians on the state and federal level to call for gas tax holidays.
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Though gas prices are currently still high compared to historical averages, drivers have no plans to cut back on road travel, according to AAA.
That’s as this summer is proving to be a particularly popular travel time. The busier season has not been without complications, including mass flight disruptions leading into the July 4 holiday.

A recent Bankrate survey found 63% of adults plan to take a summer vacation this year, up from 61% last year.
“People want to go somewhere, they want to do something,” said Ted Rossman, senior industry analyst at Bankrate and CreditCards.com. “There’s still a lot of pent-up demand that backed up during the pandemic.”

That demand has helped push categories like airfares and hotels higher this year, Rossman noted.
Bankrate’s survey found 80% of travelers are planning to adjust their plans due to higher prices.
Opting to drive instead of fly was one of the more common changes, according to Rossman, in addition to choosing cheaper accommodations or destinations and traveling for fewer days.
Travelers who are hitting the road by car or other vehicle may also look for ways to cut costs on gas.

1. Be proactive about finding lower prices

Those hitting the road this weekend may want to fill up if they’re passing through the least expensive markets, according to AAA’s recent ranking of the top 10 least expensive markets.
That includes Mississippi, with prices around $2.97 per gallon; Louisiana, $3.08; Alabama, $3.10; Tennessee, $3.10; Arkansas, $3.11; South Carolina, $3.17; Texas, $3.18; Oklahoma, $3.22; Georgia, $3.23; and North Carolina, $3.25.
Drivers everywhere may save by using apps to help them find better gas prices, such as Upside or GasBuddy, according to Rossman.

2. Look for a good gas rewards credit card

Aabejon | E+ | Getty Images

Some credit cards may give you up to 5% cash back on gas, according to Rossman. That includes brands such as Chase Freedom Flex and Discover it Cash Back, he said, which are offering that rate between July and September.
Sam’s Club also offers certain cards that will allow consumers to earn money back on gas.
It is also worthwhile to check the perks your existing credit cards may offer, Rossman said.
“You may have a good gas rewards credit card and not even realize it,” Rossman said.

Of note, it is generally best to avoid gas-branded cards, which may come with high 30% annual interest rates and limited discounts on gas purchases, he said.

3. Try stacking discounts

Drivers should also look to stack offers where they can. For example, a credit card may offer 5% cash back on gas, and a gas station app may provide a 10% offer per gallon, Rossman said.
“That’s two ways to save instead of one,” he said.

4. Double-check your car rental coverage

Nensuria | Istock | Getty Images

Rental cars are also comparatively cheaper this year, Rossman said.
If you’re thinking of renting a car, be sure to double-check whether your credit card may already offer insurance coverage.
“A lot of times, credit cards have various travel perks built in that people may not even realize they have,” Rossman said, which may also include provisions for trip delays or cancellations as well as lost or delayed luggage. More

About 20% of student loan borrowers have risk factors that suggest they could struggle when repayments resume, study finds.
“I’m looking forward hopefully in the next couple of years to being able to get them totally paid off and put this stuff of my life behind me,” said a student-loan borrower, Colton Stedman.

People line up outside of the Supreme Court in Washington, D.C., on June 30, 2023.
Kent Nishimura | Los Angeles Times | Getty Images

Many student loan borrowers face risk factors that suggest they could struggle covering their bills, especially after the Supreme Court struck down President Biden’s federal student loan forgiveness proposal and repayment will resume in October.
To that point, about 20% of borrowers exhibit one or all of five risk factors, according to a June 7 report from federal watchdog agency the Consumer Financial Protection Bureau.

Those five risk factors include:

Delinquencies on student loans prior to the onset of the Covid-19 pandemic;
Pre-pandemic payment assistance on student loans;
Multiple student loan servicers;
Delinquencies on other credit products since the start of the pandemic; and
New non-medical collections during the pandemic.

Colton Stedman, 34, a student-loan borrower from South Saint Paul, Minnesota, demonstrated one such risk factor himself before the pandemic: He went into a financial hardship forbearance for up to two years because he couldn’t afford his payments, which accrued in interest.
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“I felt like I was going backwards,” he said.

‘I would say I was disappointed’

The Supreme Court decision against student loan relief did not come as a shock to Stedman, who — as a Pell Grant recipient — would have had his balance statement completely wiped clean had Biden’s plan survived.”I wasn’t necessarily surprised,” said Stedman, who graduated from college in 2013 with just under $40,000 in student loan debt. “I would say I was disappointed.”

As of today, he owes $19,570 and has been preparing to restart payments after the three-year pause.
The Supreme Court decision will trigger the largest number of borrowers on record ever to enter repayment simultaneously, for any product type, according to a CFPB spokesperson.

Jack Wallace, director of governmental and lender relations at student loan refinance company Yrefy, said “this means is that borrowers will have to make plans to make payments in October, impact their monthly cash flows.”
“They need to make proper decisions to make those payments,” he added.
For his part, Stedman said he’s found his student loan debt to be a “challenge” since graduation.
“It’s been a very large financial burden, as a young person kind of getting started, and I’m looking forward hopefully in the next couple of years to being able to get them totally paid off and put this stuff of my life behind me,” he added.

Student loan debt in the U.S. now totals $1.8 trillion, according to the Board of Governors of the Federal Reserve System, and the cost of higher education will continue to rise. Tuition and fees have more than doubled in 20 years, reaching $10,940 at four-year, in-state public colleges and up to $39,400 in private institutions during the 2022-2023 academic year, according to the College Board.Borrowers who graduated during the suspension and have never made a repayment can go to the federal student aid website to find out who their servicer is and avoid missing information.
“Go onto the FSA website and make sure you have an account set up, so that you can get timely information about what your monthly payment is going to be and what alternatives are available to lower that statement,” said Wallace at Yrefy.

3 things to consider as loan payments resume

Look at income repayment plans. “There are opportunities that exist right now for borrowers to go into income-driven repayment programs,” said Wallace. Income repayment plans are the main way to keep borrowers outside of delinquencies and defaults and can bring a monthly payment as low as to zero dollars a month. Immediately contact your servicer and make sure they have your proper information, said Wallace.
Now is the time for a fresh start. People who were previously delinquent or defaulted on their student debt have the opportunity for a do-over, said Wallace. “That’s a positive thing,” he said. “That’ll give them an opportunity to get back in good graces regarding their credit.” Wallace suggests those who defaulted consider some of the public service forgiveness programs to provide some relief on the monthly payment.
Public service loan forgiveness program is not limited to government employees. This program eliminates your remaining balance after 10 years of qualifying payments if you’re in a public service or interest job, and it applies beyond government workers — its scope includes teachers, firefighters and other first responders. More

Rafael Henrique | Lightrocket | Getty Images

The basic materials sector closely follows economic trends. As fundamental macro factors play such a crucial role in driving the group, one needs a keen eye to identity top investment opportunities among the many chemical, steel, mining and other stocks that make up the sector. 
TipRanks recognized the 10 best analysts in the basic materials sector who delivered noteworthy returns and whose recommendations outperformed their peers. 

TipRanks used its Experts Center tool to identify analysts with the highest success rates. In the process, it analyzed every recommendation by analysts in the basic materials sector over the past 10 years. Then, TipRanks’ algorithms calculated the statistical significance of each rating, analysts’ overall success rate and the average return.

Top 10 analysts from the basic materials sector 

The image below shows the most successful Wall Street analysts from the basic materials sector. 

Arrows pointing outwards

1. Dan Payne — National Bank 

Dan Payne tops the list. Payne has an overall success rate of 64%. His best rating was on Birchcliff Energy (TSE:BIR), an intermediate oil and natural gas company. His buy call on BIR stock from Oct. 6, 2020 to Oct. 6, 2021, generated a return of 373%.

2. Leo Mariani — Roth MKM

Leo Mariani is second on the list, with a success rate of 62%. Mariani’s top recommendation was Permian Resources (NYSE:PR), an oil and gas company. The analyst generated a whopping profit of 800% through his buy recommendation on PR stock from Oct. 20, 2020 to Oct. 20, 2021. 

3. John Freeman — Raymond James 

Raymond James analyst John Freeman ranks No. 3 on the list. Freeman has a success rate of 56%. His best recommendation was on Vital Energy (NYSE:VTLE), an oil and gas explorer in the Permian Basin. The analyst generated a return of 738% through a buy recommendation on the stock from Oct. 23, 2020 to Oct. 23, 2021. 

4. Poe Fratt — Alliance Global Partners

Poe Fratt bags the fourth spot on the list. The analyst has a 54% overall success rate. Fratt’s best recommendation was on Gevo (NASDAQ:GEVO), a company focusing on renewable chemicals and advanced biofuels company. Based on his buy recommendation, the analyst generated a profit of 800% from Aug. 11, 2020 to Aug. 11, 2021. 

5. Elvira Scotto — RBC Capital

Fifth-place analyst Elvira Scotto has a success rate of 64%. Scotto’s best recommendation was Crestwood Equity Partners (NYSE:CEQP), an owner of midstream assets that gathers, processes, stores and transports natural gas, natural gas liquids and crude oil. Based on this pick, the analyst delivered a profit of 437% from March 16, 2020 to March 16, 2021.

6. Vincent Lovaglio — Mizuho Securities

Taking the sixth position is Vincent Lovaglio. The analyst sports a 66% success rate. Lovaglio’s top recommendation was for Comstock Resources (NYSE:CRK), a natural gas producer. Through his buy call on CRK stock, the analyst generated a return of 270% from April 20, 2021 to April 20, 2022. 

7. Scott Hanold — RBC Capital

RBC Capital analyst Scott Hanold is seventh on this list, with a success rate of 58%. The analyst’s best call was a buy on the shares of Matador Resources (NYSE:MTDR), and oil and gas explorer and producer. The recommendation generated a return of 389% from Oct. 1, 2020 to Oct. 1, 2021.

8. Michael Harvey — RBC Capital 

In the eighth position is Michael Harvey of RBC Capital. Harvey has an overall success rate of 55%. The analyst’s top recommendation was for Seven Generations Energy, a Canada-based oil and gas company. Through this buy call, the analyst generated a return of 412.1% from March 16, 2020 to March 16, 2021. Seven Generations Energy merged with ARC Resources (TSE:ARX) in 2021.

9. Dalton Baretto — Canaccord Genuity

Dalton Baretto ranks ninth on the list. The analyst sports a 52% success rate. His top call was made on Capstone Copper (TSE:CS), a Canada-based copper producer. The buy recommendation generated a return of 800% from May 27, 2020 to May 27, 2021.   

10. T J Schultz — RBC Capital

T J Schultz has the 10th spot on the list, with a success rate of 63%. The analyst’s best call has been a buy on shares of Targa Resources (NYSE:TRGP), a provider of midstream services. The recommendation generated a return of 243% from March 16, 2020 to March 16, 2021. 

Bottom line 

Retail investors can leverage TipRanks’ Experts Center tool to keep track of the recommendations of top analysts and make informed investment decisions. More

Today, new cars under $30,000 make up just 8% of the market’s supply, down from 38% pre-pandemic. 
With fully loaded SUVs and trucks in high demand, carmakers continue to upgrade their lineups and scale back on less-expensive cars.

Car shoppers like luxury

Well before the Covid-19 pandemic, consumer tastes had started to steadily shift away from sedans toward more expensive SUVs and trucks. Then, car buyers piled on options, such as high-tech touch screens, ambient lighting, 360-degree cameras and heated and cooled seats.
“There’s a war of features,” said Ivan Drury, Edmunds’ director of insights.

In response to increased demand, dealers began stocking more cars with all the bells and whistles, he said, and carmakers upgraded their lineups with high-end packages, or trim levels, and scaled back on less-expensive cars.
“It only makes sense to continue to ratchet up the price to offer more features and increase the size of the vehicle with each redesign,” Drury said.

Car prices near a record high

For new cars, the average transaction price was $47,892 in May, near an all-time high, according to Edmunds. Now, 10% of all vehicles sold cost more than $70,000, up from 3% five years ago.
On the flipside, there are fewer options available at lower price points. Just 0.3% of new vehicles sold cost less than $20,000, compared with 8% five years ago, Edmunds found.
That’s leaving more car shoppers priced out of the new car market, Ryan said.

How to get the best used car for the money

Instead of getting a new car, buyers on a budget are purchasing older cars with more mileage, which means their cost of ownership is going to go up, Ryan said.
“Those that have the least ability to pay are getting the car that’s going to cost the most to own.”
An iSeeCars study analyzed more than two million cars to see which used models are priced the lowest and offer the longest remaining lifespan. 
Here are the 10 models that came out on top. More

Bobby Bonilla collects a $1.19 million check from the New York Mets every July 1, also known as Bobby Bonilla Day.
An annuity is a lump sum of money, often taken out of a retirement plan, which is converted into a future stream of income.
However, they aren’t for everyone, says certified financial planner Louis Barajas, who is also a member of the CNBC Financial Advisor Council.

Infielder Bobby Bonilla of the MLB’s New York Mets at a game against the Los Angeles Dodgers at Dodger Stadium, July 25, 1993.
Stephen Dunn | Getty Images Sport | Getty Images

Former Major League Baseball player Bobby Bonilla collects a $1,193,248.20 check from the New York Mets every July 1, and he’ll continue to do so until 2035. The catch? He hasn’t played for the team in 24 years.
Bonilla scored this deal in 2000, when the Mets still owed him $5.9 million. However, the all-star player agreed to defer his payment to let the Mets invest in the team and stadium. In return, the Mets agreed to pay Bonilla back $29.8 million over 35 years — one of the MLB’s most famous deals ever.

In fact, ever since, July 1 has been known as Bobby Bonilla Day.
“For Bobby Bonilla, they’ve taken big lump sums of money [and] instead of giving [him] money up front, they’ll convert that money into a future stream of income payments,” said certified financial planner Louis Barajas, CEO of International Private Wealth Advisors in Irvine, California. Barajas is also a member of CNBC’s Financial Advisor Council.
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While most investors can’t expect a deal anything similar to Bonilla’s, they do have access to a similar financial product called an annuity.

Annuities provide a guaranteed stream of income

An annuity is a lump sum of money, often taken out of a retirement plan, which is converted into a future stream of income, or annuitized. Insurance companies guarantee payments for a set period that can span the rest of your life or beyond. Payments might begin immediately or be deferred.

The allure for investors is a guaranteed stream of income, much similar to Social Security or pensions. That can alleviate fears of running out of money in retirement.
How do insurance companies determine how much money they’re going to give you? It’s based on a couple of things, said Barajas. These include the rate of return they think they can earn on the money you give them, and your life expectancy, added Barajas.

Demand for annuities has soared this year amid concerns about the economy and lingering hints of a potential recession. Annuities struck a record sale of $310.6 billion in 2022, according to estimates released by Limra, an insurance trade group.
More than half, or 54%, of savers are considering a type of guaranteed lifetime income, according to a survey by Morning Consult for the American Council of Life Insurers.
Annuities are an investment product that have benefited from record-high interest rates — the higher the interest rate, the better the monthly rate you’re going to get, Barajas said. Calculations are starting to change because companies have to figure out how to benefit the consumer and people are, on average, living longer, sometimes to age 95 or 100, he said.
“If you annuitize it, the company has to guarantee you that income,” said Barajas. “Once it’s annuitized, it’s guaranteed for the rest of your life.”

Three ways to gauge an annuity offer

Annuities aren’t for everyone, however. There are many different kinds, and some can be hard to understand or come with expensive terms and fees. There can also be restrictions and important but easily overlooked fine print, including terms that make it difficult or impossible to get your principal back if you change your mind.
Here are three ways to educate yourself before signing an annuity contract, Barajas said:

Look at the insurance company’s reputation. You’re giving a significant amount of money to an annuity provider, so make sure it has a good reputation, including a strong credit rating from an agency, such as AM Best or Standard & Poor’s, and favorable reviews from customers.
Vet the agent or advisor. “Don’t pull the trigger with the first person you meet,” said Barajas. Check that the person selling you the annuity has a good reputation and a clean professional history. Ideally, pick someone who isn’t a captive agent and can work with multiple companies. “I always tell clients to ask, ‘Are you working as fiduciary for me, and can I get that in writing?'”
Consider how an annuity fits in your larger financial plan. There are no good or bad products; it’s the context, said Barajas. “What are the pros and the cons?” he said. “Every investment has a plus and a minus.” Make sure you fully understand the commitment you are about to make and talk with a financial advisor about whether other products might be a better fit for your needs. More