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A fixed annuity is a
popular retirement
and savings vehicle
that was created for
long term investors
who want the
stability of a
guaranteed fixed
interest rate with
no risk that they
will ever lose any
of their principal.
A fixed annuity
contract lets the
insurance company
invest your lump sum
or accumulated
contributions into
low-risk assets,
providing a
guaranteed return
traditionally higher
than that of a CD
product.
While a fixed
annuity provides
steady, guaranteed,
and worry free
growth, the real
advantage is the
tax-deferred
benefits that a
fixed annuity funded
with qualified
(pre-tax) money
presents. A
tax-deferred fixed
annuity lets you
defer all tax on
earnings and
principal into the
future, providing
exceptional growth
due to the
compounding process
on earnings. While
the interest on a
certificate of
deposit is taxed
yearly (reducing
your total
accumulated value),
the fixed annuity is
designed to
encourage real
retirement savings
by providing a long
term tax deference
incentive for you to
grow your
investment.
A fixed annuity is
typically structured
and planned out in
two phases. The
first phase includes
the accumulation
phase where long
term growth and
compounding happens
on a tax deferred
basis. The second
phase is typically
the payout phase,
whereby a fixed
annuity can be
converted into a
monthly fixed income
and paid on a
guaranteed basis
over a lifetime or
set number of
payments.
Alternatively a
fixed annuity can be
rolled over into a
new annuity with
prevailing interest
rates through a 1035
exchange, with no
tax liabilities
incurred if
processed correctly.
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Online,
affordable and fixed annuity quote available for the following states in the USA:
Alabama - AL, Alaska - AK, Arizona - AZ, Arkansas - AR, California - CA,
Colorado - CO, Connecticut - CT, Delaware - DE, District of Columbia - DC,
Florida - FL, Georgia - GA, Hawaii - HI, Idaho - ID, Illinois - IL,
Indiana - IN, Iowa - IA, Kansas - KS, Kentucky - KY, Louisiana - LA, Maine
- ME, Maryland - MD, Massachusetts - MA, Michigan - MI, Minnesota - MN,
Mississippi - MS, Missouri - MO, Montana - MT, Nebraska - NE, Nevada - NV,
New Hampshire - NH, New Jersey - NJ, New Mexico - NM, New York - NY, North
Carolina - NC, North Dakota - ND, Ohio - OH, Oklahoma - OK, Oregon - OR,
Pennsylvania - PA, Rhode Island - RI, South Carolina - SC, South Dakota -
SD, Tennessee - TN, Texas - TX, Utah - UT, Vermont - VT, Virginia - VA,
Washington - WA, West Virginia - WV, Wisconsin - WI, Wyoming - WY. |
