An annuity is a contract in which an insurance company agrees to provide you with certain payments in exchange for your premium.

What Kind of Annuity do I Need?

The most common type of annuity is the fixed annuity, which usually guarantees that your initial payment will be set at a particular amount and increases each year based on indexing or compounding. These are normally issued by an insurance company and are considered taxable investments.

Variable annuities give you greater control over your investment, allowing you to choose among a menu of mutual fund companies. The value of your account fluctuates with the current market value of the underlying investments within the variable annuity, which may include stock funds, bond funds or money-market mutual funds. Their value also fluctuates on a daily basis, based on market activity and new deposits you add to your account.

An annuity is a great way for your family to accumulate money for retirement and pass your assets on to your heirs tax-free. For more information, get in touch with our helpful staff by clicking the button below.