Madison Immediate Annuities
Retirement planning has changed a lot throughout the years and will continue to do so. It is tough to rely on Social Security when its future is in doubt. This is why it is important for people to prepare today for their retirement future. Immediate annuities are a product that can help people accomplish this goal.
What Is An Immediate Annuity?
First of all, it’s important to understand what annuities are. Annuities are financial products that function as an agreement between an individual and an insurance company. The person agrees to make a lump sum payment to the financial institution, who makes regular payments back to the person at a predetermined time. There are two basic kinds of annuities, deferred and immediate, that determine how and when these payouts occur. Deferred annuities include payouts that are pushed aside to a later time; the payouts of immediate annuities can start immediately.
For those looking for recurring income payments within a short amount of time, immediate annuities can be a great choice. The growth of the funds placed within an immediate annuity is tax-deferred, which means you do not need to pay taxes on this increase until the money is withdrawn.
You have many different options when it comes to immediate annuities, which can make the decision difficult. The great thing about choosing Retirement Income Strategies for wealth management is that we are able to work with several of these financial institutions to provide our Madison customers with options. This allows us to select an immediate annuity that will best fit your needs.
Ready to learn more about immediate annuities? Talk to one of our experienced financial professionals in the Madison area. After a simple conversation on your current finances and retirement goals, we should be able to figure out if an immediate annuity is a good choice for you. Give us a call now and schedule your appointment.