De Forest Immediate Annuities
Whether we like it or not, planning for retirement is changing and will continue to do so. While Social Security and pensions 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’s very important to prepare now for what lies ahead in retirement. Immediate annuities are an insurance product that have helped people accomplish this goal.
About Immediate Annuities
First of all, it’s important to understand annuities in general. An annuity is a financial product that functions as an agreement between an individual and a financial institution. On one side, the annuity owner 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 payments 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.
For those in need of steady income payments within a short amount of time, immediate annuities are a common selection. Immediate annuities feature tax-deferred growth, which means you do not have to pay taxes on this increase until the money is withdrawn.
There are several companies out there that market immediate annuities, providing you with a lot of options. To help you make a good decision on immediate annuities, Retirement Income Strategies is independent, meaning it will provide you with access to products from several different companies. Because of this, we are better equipped to find an annuity that meets your needs.
Ready to learn more about immediate annuities? Meet with one of our experienced financial professionals in the De Forest area. After a simple conversation on your current finances and retirement goals, we should be able to determine if an immediate annuity is a good choice for you. Call us today to set up your appointment.