About Annuities

Confused about annuities? You’re not alone. Many people have difficulty understanding them. The main reason for all the confusion: Annuities may be single or flexible-payment; fixed or variable; deferred or immediate. No matter the type, annuities are financial contracts with an insurance company whose tax-deferred growth is designed to be a source of retirement income. This information will help you decide if an annuity is right for you and help you to choose the type of annuity that best meets your needs.

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Single vs. Flexible-Payment Annuities
You can purchase an annuity in two ways:

• Make one lump-sum payment to purchase a single-premium annuity. If you want to contribute more money at a later date, you will have to purchase another annuity.
• Make ongoing contributions to a flexible-payment annuity. You can contribute money at regular or even irregular intervals anytime you want.

Many people find annuities confusing. There are numerous types of annuities and it is not always clear which may be best for you. For more Click Here
 

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