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An annuity is an insurance product that provides guaranteed income for a specific period of time, typically during retirement. An annuity can be either immediate or deferred. An immediate annuity pays income immediately, while a deferred annuity pays income at some point in the future.
There are several different types of annuities, but the most common are fixed annuities and variable annuities.
A fixed annuity pays a guaranteed rate of return, while a variable annuity pays a rate of return that can fluctuate depending on the performance of the underlying investment.
Annuities can be a helpful tool for retirees who are looking for guaranteed income. However, it is important to understand the different types of annuities and how they work before investing in one.
There are several different types of annuities, but the most common are fixed annuities and variable annuities.
A fixed annuity pays a guaranteed rate of return, while a variable annuity pays a rate of return that can fluctuate depending on the performance of the underlying investment.
Annuities can be a helpful tool for retirees who are looking for guaranteed income. However, it is important to understand the different types of annuities and how they work before investing in one.
