Annuties

What Is an Annuity?

An annuity is a long-term financial product designed to help protect your retirement savings and convert them into predictable income. Think of it like setting up your own personal pension—except you’re in control.

Most of our clients have already spent years building their retirement accounts—401(k)s, IRAs, or investment portfolios. As they approach retirement, they’re less focused on chasing returns and more concerned with protecting their principal, avoiding market losses, and ensuring their money lasts. An annuity can do just that—with guaranteed income, tax advantages, and the option to leave a legacy behind.

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Types of Annuities

• Fixed Annuities – Provide guaranteed interest and stable income.

• Fixed Indexed Annuities (FIAs) – Protect your principal while earning interest based on the performance of a market index.

• Variable Annuities – Offer market-based growth potential (with risk and higher fees).

• Immediate Annuities – Start paying income right away.

• Deferred Annuities – Let your money grow tax-deferred and start income later.

 

Key Features & Tax Benefits

• Tax-Deferred Growth – Your money can grow without being taxed until you begin withdrawals.

• No Rollover Penalties – You can move funds from a 401(k), IRA, or TSP into an annuity with no taxes or penalties when done as a qualified rollover.

• Roth Compatibility – If you're using funds from a Roth IRA, your annuity continues to grow 100% tax-free, and withdrawals stay tax-free under Roth rules.

• Lifetime Income Options – You can structure payments to last your entire life—and even cover your spouse’s lifetime too.

• Legacy Planning – Choose options that allow remaining funds to pass to your loved ones tax efficiently.

 

Is an Annuity Right for You? Ask Yourself:

• Do I want guaranteed lifetime income I can’t outlive?

• Am I concerned about market volatility?

• Do I want to protect my principal while still earning returns?

• Is leaving a financial legacy important to me?

• Do I have sufficient net worth to dedicate part of it toward long-term income?

 

Best Practices: Diversify and Plan for the Long Run

As with any smart strategy, diversification is key. While annuities are safe and effective, we typically recommend that no more than 50% of your net worth be placed into one. That’s not because they’re risky—it’s because accessing the lump sum early can compromise your income plan.

Our goal is to be fully transparent—no pressure, no gimmicks. Just straightforward information so you can decide if an annuity fits your retirement goals.

 

✅ I can shop around for your best rate
✅ I’ll explain your real options, not just one company’s pitch
✅ You get a real person, not a call center

📍 I’m available to meet in person in Hunters Creek or help you by phone or text.
📞 Call or text 407-925-3616 to see your options today.