Immediate Annuities in Sun Prairie
Whether we like it or not, retirement is changing and will continue to change. It is tough to bank on Social Security when its future is in doubt. This means it is very important to prepare now for what lies ahead in retirement. In order to achieve this goal, many people have turned to immediate annuities.
About Immediate Annuities
First of all, it’s necessary to understand annuities in general. At its base level, an annuity is a financial product that functions as an agreement between an individual and an insurance company. 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 payouts happen, there are two basic kinds of annuities: deferred and immediate. Deferred annuities include payouts that are pushed aside to a later time; the payouts of immediate annuities can start immediately.
Immediate annuities are often chosen by retirees who are looking for steady income payments to start within a short amount of time. Another attractive feature of these annuities is they feature tax-deferred growth, which means you aren’t required to pay taxes on this increase until the money is withdrawn.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. To help you make an informed decision on immediate annuities, Retirement Income Strategies is independent, meaning it can provide you with access to products from several different companies. This allows us to select an immediate annuity that will best fit your needs.
Want to learn more about Sun Prairie immediate annuities? Talk to one of our experienced financial professionals. We will be happy to discuss your financial and retirement goals to decide if one of these products would be the right choice for you. Give us a call today and schedule your appointment.