Explore Annuity Options for Your Retirement
Planning for retirement raises a practical question: how will you pay yourself after your regular paycheck ends? Annuities are insurance contracts that can provide income for a set period or, with certain options, for life. The right approach depends on your other income sources, when you need payments to begin, and how much of your savings you want to keep accessible.
How Annuities May Fit Your Retirement P;an
Predictable Retirement Income
Explore annuity options that can provide scheduled payments to help over retirement expenses. Payment amounts and duration depend on the contract you choose.
Manage Market Risk
Compare how fixed, indexed, and variable annuities respond to market changes, Their risks, protections, and growth potential offer.
Balance Growth and Stability
Consider whether an annuity can compliment your other retirement savings while leaving enough money available for near term needs.
Income That Can Last for Life
Certain annuity payout options offer payments for as long as you live, subject to the insurer's claims paying ability and your contract terms.
Frequently Asked Questions About Annuities
An annuity is a contract with an insurance company. You make a payment or series of payments, and the contract provides benefits according to its terms. Depending on the annuity, those benefits may include tax deferred accumulation, future income, or payments that begin soon after purchase.
Some annuities offer lifetime income when you select an eligible payout option. The payment amount depends on factors such as the contract, your age, when payments start, and whether benefits continue for a spouse. Review the exact terms before choosing a payout option.
A fixed annuity provides interest under terms set by the insurer. A fixed indexed annuity credits interest using a formula tied to an index; it does not necessarily earn the index’s full return. A variable annuity’s value and payments may change with the performance of its selected investment options. Costs, risks, and available features vary by contract.
Withdrawal rules vary. Taking money out during a surrender period may result in charges, and withdrawals can have tax consequences. Before buying, consider how much you may need for emergencies and ask which amounts, if any, you can withdraw without a surrender charge.
