Annuities:
Annuity For Retirement
Annuity For Retirement
An annuity for retirement may be able to provide guaranteed* income protection and help ensure that you do not run out of money in retirement. Even if the stock market falls, your money will be safe–with the right type of annuity contract. All the while, you can earn reasonable rates of return** on your contributions.
Retirement strategies aren’t “one-size-fits-all.” Everyone’s financial situation is slightly different, so each individual demands unique options tailored to their own circumstances. Contact us; we can help you become more knowledgeable so that you may be able to choose the best options for you. Where is the best place to keep your retirement money? Could an annuity be the right choice for you? We can help you find out.
Myths And Misconceptions About Choosing Annuity For Retirement
Annuities are the subject of many myths and misconceptions. Why do some financial professionals believe they are bad? You may have heard them say this. To begin with, many brokers benefit more from managing your money in the stock market, profiting more than they would from selling you an annuity. As a result, it is better for them if you keep your money in the market. Another key detail is that there are different types of annuities, and some may be more beneficial to your situation than others.
A variable annuity offers high returns, but you could lose your cash value if the market drops. A fixed annuity, meanwhile, protects your cash value, but may offer diminishing returns. Lastly, with a fixed indexed annuity (FIA) you can see the benefit of both guaranteed* income protection, and indexed interest at a reasonable rate of return.** For some people, the benefits of a fixed indexed annuity for retirement make it the best of both worlds. What’s more, an annuity comes with more benefits. For example, specific tax benefits.
Annuities Then Vs Now
When it comes to annuities, your options were once far more limited. Certain options offered lower interest rates but protected your principal contribution. Some provided higher rates, but came with risk. Neither of these solutions is especially advantageous. However, more options are now available. An FIA can offer both protection* and a decent rate of return,** as well as other perks like tax breaks.
Contact us to learn more about if an annuity for retirement could be a good fit for you.