Annuities For Retirement

An annuity is a contract with an insurance company, allowing you to receive payments at set intervals. Using certain types of annuities for retirement to provide a guaranteed* income stream can help with the risk of possibly outliving your income. Additionally, there are multiple types of annuities: variable annuities, fixed annuities, and fixed indexed annuities, or FIAs. There are certain advantages and disadvantages to all of these products. However, we specialize in fixed indexed annuities. This is for a good reason. The “fixed” prefix refers to the guarantee* of safety on your money that this product comes with.

Phases of An Annuity

An annuity agreement has two main phases. The accumulation phase, and distribution phase. While the details of each annuity contract differ, these two steps will always apply to FIAs.


First, during the accumulation phase, your money grows over time. An FIA will grow at a set interest rate, regardless of what’s happening in the stock market. However, an FIA may offer higher returns when the index is up, although there is no loss when the index falls. During this phase, your money grows steadily as long as you leave it in place.


Next is the distribution phase. This phase begins once you actually access your funds, or when lifetime income begins to be distributed. There are a number of different ways you can choose to receive the payments from your annuity. For example, you could schedule withdrawals to happen monthly, quarterly, or annually. You could also potentially guarantee* income for life with an annuity for retirement.

What is a Fixed Indexed Annuity

An FIA is an annuity product that maintains its value over its term while keeping your principal safe from stock market risk. The agreement is an arrangement between yourself and an insurance company, like any other annuity product.

While variable annuities offer high returns, as their rates are linked to a stock market index, they also come with risk. Fixed annuities, meanwhile, may come with a degree of safety, but your interest rate has no potential to increase. A fixed indexed annuity is essentially the “best of both worlds” as a financial vehicle for your retirement.

Photo of a stemless wine glass full of money and a pair of reading glasses on top of a retirement plan which includes information about annuities.

Learn More

Get in touch with us to learn more about your retirement options. What product or products are most suited to your needs? You don’t have to pick between our three core values of safety, reasonable rates of return,** and simplicity. Not only is having all three possible but there are multiple products that can do this. Get in contact with us to learn more. You can schedule a one-on-one meeting with us to talk about the specifics of your situation. Or, you could attend one of our no-cost, no-education dinner seminars.