Annuities are an integral part of retirement planning, allowing you to save money and taxes while eliminating the fear of outliving your savings. There is a wide variety of annuities, some tailored for future growth, some for income, and others as savings instruments. Based on your personal needs, you can select the product(s) best suited for you depending on your exact needs.
There are two basic types of annuities: an immediate annuity and a tax-deferred annuity. Immediate annuities are designed to provide you or a loved one with regular income payments for life or a set period of time only. This kind of arrangement is well suited for those who want an income with flexible options. Immediate annuity contributions are usually a lump sum of money. Based on your age, life expectancy, and interest rates, the insurance company calculates how much they send each month - no matter how long you live.
Contributions to tax deferred annuities are typically a lump sum of money given to the insurance company, and it grows on a tax-deferred basis. You don't pay any taxes on the earnings or profits that are built up in the annuity until you take out the money. You may also add money to your tax-deferred annuity in various amounts over time, providing you with more flexibility.
For detailed information on each type of annuity available, or for direct service, rate requests, or a detailed analysis of the program best suited to meet your financial objectives, contact The McDonald Group.
- Fixed Annuities
- Equity Indexed Annuities
- Variable Annuities