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An annuity is an insurance product that allows you to receive guaranteed income payments for a designated period of time. You can use an annuity to supplement your retirement income, or as a way to invest for the future.
With an annuity, you make a lump sum payment, or series of payments, to an insurance company. In return, the insurance company agrees to make periodic payments to you for a specified period of time, or for the rest of your life.
The payments you receive from an annuity can be either fixed or variable. With a fixed annuity, you will receive the same payment each time. With a variable annuity, your payments will vary, based on the performance of the investment options you choose.
Annuities can be either immediate or deferred. An immediate annuity begins making payments to you as soon as you make your initial investment. A deferred annuity allows you to grow your investment over time, and then make withdrawals at a later date.
The payments you receive from an annuity are tax-deferred, which means you will not have to pay taxes on the money until you withdraw it. This can provide a significant tax advantage, especially if you are in a high tax bracket.
An annuity can be a valuable addition to your overall financial strategy. Be sure to talk to a financial professional to see if an annuity is right for you.
With an annuity, you make a lump sum payment, or series of payments, to an insurance company. In return, the insurance company agrees to make periodic payments to you for a specified period of time, or for the rest of your life.
The payments you receive from an annuity can be either fixed or variable. With a fixed annuity, you will receive the same payment each time. With a variable annuity, your payments will vary, based on the performance of the investment options you choose.
Annuities can be either immediate or deferred. An immediate annuity begins making payments to you as soon as you make your initial investment. A deferred annuity allows you to grow your investment over time, and then make withdrawals at a later date.
The payments you receive from an annuity are tax-deferred, which means you will not have to pay taxes on the money until you withdraw it. This can provide a significant tax advantage, especially if you are in a high tax bracket.
An annuity can be a valuable addition to your overall financial strategy. Be sure to talk to a financial professional to see if an annuity is right for you.
