What is an Annuity?
An annuity is a long-term contract between you and an insurance company, where you make a lump-sum payment or series of payments, and the insurer will make payments to you now or later - you choose. Some advantages to having an annuity is that they are tax-deferred and may include a death benefit. Specifically designed to supplement retirement income, an annuity can provide income after you have stopped working that you can't outlive.
What are Some of My Choices?
Fixed Annuity. A fixed annuity guarantees you will earn a minimum rate of interest during the time that your policy is growing. For more conservative investors, this is a safe and steady way to grow retirement assets at a fixed rate of interest with a tax deferral.
Equity Index Annuity. An equity index annuity earns interest based on changes to a nationally recognized index or indexes such as the S&P 500 or NASDAQ. The credited interest is based on the performance of the chosen index, which can never decrease. It also promises a minimum interest rate.
- Guaranteed Rates
A contract will protect you if anything should happen.
- Power of Choice
You decide when to start drawing out income from your insurer.
- Long-term Commitment
Vehicles specifically designed to supplement retirement income.