With An Annuity
Protect Your Income with Annuity Payments
Outliving your money is one of the biggest concerns people have as they prepare for retirement. This is because no one knows how long they will live in retirement or how much money they will need. However, you can plan for your lifetime income. The key is finding the balance between reward and risk, preserving your money, and growing it. As a result, receiving annuity payments for the rest of your life from an FIA may be worth considering.
Fixed Index Annuities (FIA) Benefits
An FIA could provide growth during market upturns. However, it also protects your principal during potential market downturns.
- Income that is guaranteed* for life
- Deferral of taxes
- Unlimited contributions
- Offers protection against losses in the market
- Earned interest based on index performance
- Beneficiary protection
- The insurance company assumes the risk
Annuities are subject to surrender charge periods. The timeframes are usually between five and ten years. So long as you follow the terms of your contract, you will not lose any money placed in your annuity.
Fixed index annuities give you control over your retirement income. Your money grows during the accumulation phase. Then, after the accumulation phase, you begin receiving payments. Annuities provide a guaranteed* income for retirement. Furthermore, the value of the contract determines annuity payments.
Payments can be received in two ways. Payments or income withdrawals. Also, a portion of the payments may be tax-free*. In some cases, payments can be refunded. If you earn interest, the remainder may be taxed. Your income can also be withdrawn and taxed after withdrawal. Speak to a tax professional for more information. Our team can answer any questions you might have regarding guaranteed* lifetime income annuities.
A fixed index annuity is paid to your beneficiary when you die. Death benefits may also be paid after income payments have been made. Additionally, beneficiaries may receive lump annuity payments. Fixed index annuities could be a good option for those who do not expect annuity income.