An Income For Life

February 8, 2024

Worried about outliving your income? With the future of social security more uncertain every day, wise retirement planning has never been more important.

So, what makes an ideal keystone of your retirement plan? How about an essentially no-risk investment that locks in a guaranteed income for any period you choose—including a lifetime income option—at better rates than bank-issued CDs, bonds, treasury notes, or money market accounts? If this sounds good to you, then you should consider purchasing a fixed annuity.

While a fixed annuity's safety and lifetime income benefits are keys for many investors, you should also consider the tax advantages. You can choose to begin receiving income from your annuity right away. Still, fixed annuities also allow you to grow your investment at compounded interest without any tax liability until you begin receiving your monthly check. If you defer your annuity income until after retirement, and your tax bracket drops after retirement, you could be looking at significant tax savings on your earnings.

Fixed annuities are also one of the simplest, most hassle-free investments you can find. No worries about bouncing interest rates or crashing stocks. Sign the contract, pay the premium, and receive checks for life.

Of course, you don’t have to opt for a lifetime payout with your fixed annuity, as rates still tend to outperform CDs whether you’re looking for a one-, three-, ten-, or fifteen-year investment. No matter your current situation, you should consider making fixed annuities a part of your investment portfolio.

While many people don’t associate insurance agents with financial planning, the truth is that some of the most important financial planning vehicles, including annuities, are insurance products, and I’m an agent who specializes in helping my clients plan for the future.

Let someone with expertise in ALL aspects of financial and retirement planning assist you in securing your future. Contact East Harlem Insurance Brokerage and Tax Service.