- Annuities
Understanding The Benefits
Retirement Annuities: Understanding the Benefits
As you plan for retirement, you may be looking for alternative ways to protect and grow your wealth. So, a retirement annuity may be an option to consider. An annuity is a type of insurance product that offers guaranteed* income.
Benefits of Fixed Indexed Annuities (FIAs)
FIAs can be used as a part of your retirement strategy in order to provide a number of benefits. Here's a breakdown of the main advantages of FIAs:
FIAs grow earnings tax-deferred. Interest is not taxable until you withdraw money. This enables compound interest growth.
Retirement annuities are designed to provide a steady stream of income. As a result, you don’t have to worry about running out of money late into retirement.
A fixed indexed annuity may earn interest based on the performance of an external index (for example, the S&P 500) without being directly linked to the stock market.
Your beneficiaries receive the death benefit from an FIA after you pass away. Additionally, the death benefit may be able to avoid probate.
FIA Interest Rates
The issuing insurance company typically determines the FIA’s interest rate. Additionally, it’s the claims-paying ability of the company that backs the guarantees of the annuity. Our company, however, works with highly reputable and reliable insurance providers. An annuity policy guarantees* lifetime retirement income.
Reach out
If you are considering a retirement annuity, do your research and ensure that it meets all your needs and fits your situation. Our team can help you explore all your options in detail. Call us to schedule a meeting, or register for one of our no-cost educational seminars.