Annuities
An annuity can help prepare for a long, happy future. Most people look forward to the day they can retire. No more daily grind. No more meetings. No more stress. But what about the uncertainties? It’s easy to figure out what you are going to do with all that free time. But it’s not so easy to figure out what to do about cash flow. You’ve probably put some money away for retirement, but how can you be confident that it is enough. What happens if the cost of living goes up 50% between now and when you retire? What happens if you live a lot longer than you expected? The Ted Todd Insurance Agency can help make sure you retire happily ever after. Call us today to set an appointment with one of our Exclusive Financial Specialist.
WHO WILL PAY FOR YOUR RETIREMENT?
Not long ago, most Americans depended on Social Security and employer-sponsored pensions to get them through retirement. But as the baby boomer generation ages and lives longer, Social Security may be stretched too thin to provide the kind of retirement you had hoped to have. More retirement dollars may need to come from your own savings. An annuity can help provide and protect your retirement money.
HOW AN ANNUITY FITS INTO A RETIREMENT PLAN
An annuity not only helps you save for retirement, it can also guarantee you a steady stream of income even after your paychecks stop coming.
An annuity can help fill the gap between what you expect to receive and what you will actually need to live during retirement.
Two annuities to know: fixed and variable.
In general, there are two types of annuities – fixed and variable. Both types offer options for income payments, and both offer tax deferral on earnings. The main difference is how they earn interest.
A fixed annuity earns a fixed rate. With a fixed annuity, you allocate your money to the insurance company for a fixed period of time. In return, the insurance company provides you with a guaranteed interest rate for a period of time.
A variable annuity earns a variable rate. With a variable annuity, you allocate your money into the subaccounts you choose. Within those subaccounts, your money is invested in underlying stock, bond or money market mutual funds. In return, you will receive a rate of return that varies based on how the underlying funds in your subaccount perform.
HOW DO I KNOW WHICH ANNUITY TO CHOOSE?
The type of annuity you need depends on a number of different factors such as when you expect to retire, your risk tolerance, the amount of money you have to invest, the amount of money you need to retire, whether or not you are married or have any dependents. In short, the amount and type of annuity you need is based on your individual circumstances. It is extremely important to meet with an experienced financial professional in order to find the annuity that is right for you.
The Ted Todd Agency has over 23 years of experience in assisting people like you meet their retirement needs. Let the experience and knowledge of the Ted Todd Agency help you retire happily ever after by simply calling 239-561-1100.