How Annuities Work

How Annuities Work

Guaranteed* annuity income can help ensure you don't end up running out of money in retirement.

The right type of annuity is the perfect way to keep your money safe, even in the event of a stock market drop. This, while still earning reasonable rates of return** on the money. Of course, provided you have the right type of annuity.

Retirement strategies aren’t “one-size-fits-all.” Far from it. Everyone has a different financial situation. As a result, everyone is in need of a different financial strategy. Contact us, so we can inform you on what we believe is the best course of action for you, specifically. Where should you keep your money? Let us help you decide.

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Misconceptions About How Annuities Work

There are some myths and misconceptions in regards to how annuities work. You may have heard some professionals say that annuities are bad. Why do they say this?

Well, for starters, many brokers make money by managing clients’ money in the stock market. Although they make some money by selling an annuity, they simply earn more if you keep your money in the market. As a result, they’ll avoid recommending an annuity.

Also, it’s an important detail that not all annuity products are the same. Some annuity products do rely on the stock market, and the money in them could be lost in the event of a market downturn. However, rest assured, there are other types of annuities that come with a guarantee* of safety, and these are the types we offer. We mainly deal in fixed indexed annuities, or FIAs. These are the products that offer all of the benefits we mentioned earlier. FIAs can provide guaranteed* income for life, safety (even in bad market conditions,) and reasonable rates of return over time.

Learn More About Annuities

To determine if an annuity is the right option for you, you should learn more about how annuities work. We may be able to help with this. We hold no-cost educational dinner seminars, where we explain a number of relevant topics to you, and provide you with a gourmet dinner, also at no cost. Additionally, you can schedule a one-on-one meeting with us, so we can review your individual situation.

Annuities: Then and Now

In the past, annuity income options were limited. Some products offered protection of principal, but came with lower interest rates. Others had better rates, but came with risks of losing your money. Neither of these options was perfect. Thankfully, circumstances have changed.

The benefits of annuities have changed. If you have the right type of annuity contract, and work with the right company, you can now get a reasonable rate of return,** protection of principal, and numerous other benefits, too. There are more options available now than ever. Contact us, to learn more about what they are, and how annuities work.

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