Immediate Annuities in Fitchburg
Whether we like it or not, planning for retirement is changing and will continue to do so. The amount of pensions is dwindling year after year and the future of Social Security is up in the air. This means it is very important to prepare now for what will happen in retirement. For many, immediate annuities are a product that can help them accomplish this goal.
What Is An Immediate Annuity?
First of all, it’s important to understand what annuities are. Basically, an annuity is a financial product that is an agreement between a person and an insurance company. The person buying the annuity makes a lump sum payment to the company and the company agrees to make regular payments back to the owner at a later time. Relating 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.
Immediate annuities are often chosen by people who want steady income payments and need them to start soon. Another important feature of these annuities is they are tax-deferred, which means you aren’t required to pay taxes on this increase until the money is withdrawn.
You have a lot of different options when it comes to immediate annuities, which can make this choice difficult. The great thing about choosing Retirement Income Strategies for retirement planning is that we are able to work with many of these financial institutions to provide our Fitchburg customers with options. This structure allows us to select the 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 Fitchburg 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. Please call us today and schedule your appointment.