What is an annuity?

An annuity is a contract between you (the annuity owner) and an insurance company. In return for your payment, the insurance company agrees to provide either a regular stream of income, the right to withdraw up to a certain percentage per year, or even a lump sum payment at some future time (generally, once you retire or pass age 59 1/2).

Is an annuity suitable for me?

For some, annuities can complement a total retirement income strategy to supplement other sources of money during retirement. Annuities have advantages such as allowing you to pay in unlimited premiums and they grow compound tax-deferred. (Upon withdrawals,** you will pay taxes on interest earned and the principal if the annuity was purchased with pre-tax dollars.) However, annuities are not for everyone.

What are the different types of annuities?

There are different types of annuities to meet the specific needs of individual retirees and pre-retirees. Annuity FYI can help simplify the selection process.

The Annuity Qualifier

Help me determine which may be the best annuity for my financial situation.

Retirement Self Assessment

What type of retiree or pre-retiree are you? Take this self-assessment consisting of ten statements designed to help you decide what may be the best use of your retirement dollars.

Annuity Checklist

You want to be well-informed to put your money to work in the best way for your situation. Annuity FYI suggests that, prior to making a purchase decision about an annuity, you consider some ideas about the product, the insurance company behind it, and the licensed professional selling it.

Annuity Warnings

Annuity FYI regularly publishes warnings about potential pitfalls in purchasing an annuity. Read this before you purchase!

Annuities: Find The Right One For You

What type of annuity might best suit your situation? This guide explains the main types of annuities and identifies what to look for in each.

 

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** Withdrawals are subject to income tax and prior to age 59 1/2 a 10% federal penalty tax may apply.

ANNUITY BASICS

Don’t Wait for Higher Interest Rates to Buy an Immediate Annuity

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Look at a Fixed Annuity Product to Create Your Own Pension

Americans are searching for a guaranteed stream of income similar to the pension plans that many of their parents and …

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Fee-Based Variable Annuities Are the Wave of the Future

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A Charitable Gift Annuity Helps You and Your Favorite Charity

Now might be a good time to consider purchasing a charitable gift annuity. These annuities work in a similar manner …

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FMOs Retain Fixed Indexed Annuity Dominance by Launching Own Broker-Dealer

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Employees Want Guaranteed Income From In-Plan Annuities

Prudential Financial recently released a report about the use of annuities in retirement plans, entitled “The Ease of Automation and …

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ARTICLES & GUIDES

Annuities May Be Used More As American Retirement Evolves

Annuities May Be Used More As American Retirement Evolves

The Urban Institute recently published an important article about “How Retirement Is Changing

Whether It’s Lottery Winnings or Retirement Savings, An Annuity Can Guarantee Your Income

Whether It’s Lottery Winnings or Retirement Savings, An Annuity Can Guarantee Your Income

Without even realizing it, many people actually stand in line for annuities on a daily or weekly

Fixed Indexed Annuities Help Empty Nesters Revamp Retirement Plan

Fixed Indexed Annuities Help Empty Nesters Revamp Retirement Plan

Many parents with older children count down the years until their nest is empty and all of their