There are many different ways to think about retirement, and your dreams may not appear on anyone’s bucket list but your own. No matter how you envision retirement, having the freedom to live life your way will depend, at least in part, on having a secure source of reliable income. Annuities are one of the few sources of retirement income that can guarantee income for life.
How do annuities work?
It really depends on the annuity. Some are designed to help you accumulate savings for long-term goals like retirement. Other annuities focus on providing a guaranteed income stream that begins either immediately or in the future.
Do I need an annuity?
A longer lifespan can translate into a longer retirement, so your savings may have to go further and last longer. A deferred annuity can help you to accumulate assets more tax efficiently and, when the time is right, convert them into income you can’t outlive.