Madison Immediate Annuities
No matter what we prefer, retirement is changing and will continue to do so. While pensions and Social Security have been dependable options for retirement income, they have shifted to a point where they will only be supplemental or even non-existent. This means it is very important to prepare now for what will happen in retirement. In order to accomplish this goal, many people have turned to immediate annuities.
What Are Immediate Annuities?
First of all, it’s necessary to understand annuities in general. Annuities are financial products that function as an agreement between a person and an insurance company. On one side, the owner of the annuity makes a lump sum payment to the company. On the other side, the company agrees to make regular payments back to the individual at a later time. In respect to when these payouts happen, there are two basic kinds of annuities: deferred and immediate. Deferred annuity payments commence at later date while immediate annuities can start payouts almost immediately.
Immediate annuities are typically chosen by those who want steady income payments and need them to start soon. Another great feature of these annuities is they feature tax-deferred growth, which means you do not need to pay taxes on this increase until the money is withdrawn.
There are many companies out there that market immediate annuities, providing you with many different options. By working with Retirement Income Strategies, you’ll have access to many of these companies and have options available as you select a Madison immediate annuity. Through this structure, we’re better equipped to find an annuity that fits your needs.
Ready to learn more about immediate annuities? Speak with one of our experienced financial professionals in the Madison area. We will be happy to discuss your financial situation and retirement goals to decide if one of these products would be the right choice for you. Call us now to schedule your appointment.