Immediate Annuities in Sun Prairie
The products we rely on to plan for retirement have changed a lot over time. While Social Security and pensions have been reliable options for retirement income, they have shifted to a point where they will only be available to some. This means it is very important to prepare now for what will occur in retirement. For many people, immediate annuities are a product that could help them accomplish this goal.
What Are Immediate Annuities?
First, let’s discuss a general definition of annuities. Annuities are financial products that function as an agreement between an individual and an insurance company. The annuity owner makes a lump sum payment to the company and the company agrees to make payments back to the owner at a predetermined time. Relating to when these payments happen, there are two basic types of annuities: deferred and immediate. While deferred annuities don’t start until a later time, immediate annuities can start immediately.
Immediate annuities are often selected by retirees who are looking for steady income payments to start within a short amount of time. Immediate annuities feature tax-deferred growth, which means you don’t have to pay taxes on this increase until the money is withdrawn.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 the decision difficult. By working with Retirement Income Strategies, you will have access to many of these companies and have options available to you for Sun Prairie immediate annuities. Through this structure, we are better equipped to find an annuity that meets your needs.
Want to learn more about immediate annuities? Talk to one of our experienced financial professionals in the Sun Prairie area. We’ll be happy to talk about your financial and retirement goals to determine if one of these products would be a good fit for you. Call us now and set up your appointment.