Middleton Immediate Annuities
No matter what we prefer, retirement planning is changing and will continue to change. It is tough to depend on Social Security when its future is uncertain. This is why it is important for people to prepare today for their future. An immediate annuity is an insurance product that can help people accomplish this goal.
What Are Immediate Annuities?
Before we can explain the details of this product, we need to discuss annuities in general. Basically, an annuity is a financial product that is an agreement between an individual and an insurance company. The person agrees to make a lump sum payment to an insurance company, who agrees to make regular payments back to the person at a predetermined time. In respect to when these payouts happen, there are two basic kinds of annuities: deferred and immediate. Deferred annuities feature payouts that are pushed aside to a later date; the payouts of immediate annuities can start immediately.
Immediate annuities are typically chosen by people who are looking for steady income payments to start within a short amount of time. The growth of the funds placed within an immediate annuity is tax-deferred, which means you aren’t required to pay taxes on this increase until the money is withdrawn.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. The great thing about working with Retirement Income Strategies for retirement planning is that we are able to work with many of these financial institutions to provide our Middleton customers with options. Through this structure, we are better equipped to find an annuity that meets your needs.
Find out more about immediate annuities by meeting with one of our experienced financial professionals in the Middleton area. After a short 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 give us a call today and schedule your appointment.