|
Annuities are becoming more and
more popular in today's volatile market. Many people are
looking to lock in gains they have made in other investments and
transition to safety and guarantees.
What is an annuity?
An annuity is a contract between you and an insurance company that
allows your earnings to grow and compound tax-deferred. This is a
powerful benefit that you can use to help you accumulate wealth for
your retirement or other long-term financial goals. The word annuity
literally means "annual payments". When you buy an annuity, the
insurance company agrees to pay you an income for a specified period
of time. Whether these income payments start right away, or at some
future date, determines what type of annuity you have; either
deferred or immediate.
The Power of Tax Deferral
The ability to shelter your earnings from the impact of taxes is one
of the most powerful tools available for helping you to build and
preserve wealth for retirement or other long-term goals. Without the
continuous drag of taxes, your money grows faster. Faster growth
means a larger nest egg. These are the principles that make it work.
First, your principal earns interest each year. Then, your
accumulating interest earns interest. Finally, the money you would
have ordinarily paid to the IRS in taxes (and possibly to state
and/or local agencies) remains in your annuity to earn even more
interest for you. Over time, the additional interest earnings on
these tax savings can really add up. Depending on your tax-bracket,
tax deferral can mean as much as 30% to 40% faster growth of your
money compared to a taxable account paying the same rate.
Is an Annuity a Fit for You?
Annuities offer competitive returns and safety
of principal with options for guaranteed retirement income for your
lifetime. There are many different types of annuities, some
good and some that we do not recommend. We help you determine
if an annuity is a fit for you and if so, what type would best suit
your needs. One of the exciting new products that we are
offering is the Balance Plus Select Annuity (BPA Select)
with Aviva. As eluded to in the name, this product strikes a
balance between keeping retirement savings secure, and at the same
time, maximizing the amount of retirement income generated.
Click here for a brochure on the
BPA Select Annuity
Click here for an article on why the famous baseball star Lenny
Dykstra advises professional athletes that annuities are a terrific
choice.
Click
here for an article from Bloomberg saying why retirees should
consider annuities as a key part of their retirement. Some of the
companies we represent:
|
Eddie Levin, CLU, ChFC is the owner of
AAdvantage Financial Services and has been in the financial
services industry for over 34 years. We are independent
brokers offering you a selection of products from many of the
world's top insurance carriers (See Below). Our
independence allows us to shop the market to locate the best
company and product for your individual needs. We
specialize in Annuities, Life Insurance, Long Term Care
Insurance and Disability Insurance. To learn how all these products can assist
you in making your retirement bullet proof please visit
www.CPRplan.com (The Coordinated
Program for Retirement Plan).
|
 |
|
