Annuities
Annuities are financial products designed to provide guaranteed income during retirement. They offer a way to convert your savings into a steady stream of payments that can last for your lifetime.
Types of Annuities
Immediate Annuities: Start receiving payments within a year of purchase, ideal for those already in retirement.
Deferred Annuities: Grow your money tax-deferred until you're ready to start receiving payments.
Fixed Annuities: Guaranteed interest rate and predictable payments.
Variable Annuities: Payments vary based on investment performance.
Indexed Annuities: Growth tied to market indices with protection from losses.
Key Benefits
• Guaranteed income for life
• Tax-deferred growth during accumulation
• Protection from market volatility (fixed and indexed)
• No contribution limits like 401(k)s or IRAs
• Death benefits for beneficiaries
Retirement Income Strategies
Annuities can be used to create a pension-like income stream, supplement Social Security and other retirement income, protect against longevity risk, or provide guaranteed income regardless of market conditions.
Who Should Consider Annuities?
Annuities are ideal for pre-retirees who want guaranteed income, those concerned about outliving their money, conservative investors seeking predictable returns, or anyone looking to supplement other retirement income sources.