Income annuities (sometimes known as immediate annuities) can provide a stable and secure source of retirement income. With these types of annuities, you surrender future access to a portion of your savings in exchange for a stream of income that's guaranteed for life.
Payments from income annuities can typically start as early as 30 days from your purchase date, as late as your 85th birthday, or on any date in between. You can also choose from options including:
- Whether you want to defer payments for now, which might enable you to invest less to secure the income you need later.
- Whether you want your payments to last for your lifetime, your lifetime and your spouse's lifetime, or a specific number of years.
- Whether you want your income payments to increase with inflation.
- Whether you want guaranteed payments for a fixed period, with remaining payments going to your beneficiaries if you die before the period ends.
- Whether you want your beneficiaries to receive a refund if payments over your lifetime total less than the amount of your annuity purchase.
Variable annuity with a guaranteed lifetime withdrawal benefit
By adding a lifetime withdrawal benefit to an annuity, you'll get income for life—with the potential to benefit from market gains—without giving up control of your assets.
Deferred variable annuities with lifetime withdrawal benefits offer a way to safely draw down your retirement assets by guaranteeing that, at a minimum, you’ll be able to withdraw a set percentage of your savings for the rest of your life. You retain access to your savings throughout the life of the annuity, and since the money is invested in a portfolio of stock and bonds, you have the opportunity to grow both your principal and your income stream over time.
If you choose to add a lifetime withdrawal benefit to your annuity, you may pay an additional fee.
Need to talk?
Our licensed, noncommissioned specialists will be happy to help you figure out which annuity might be right for you. Just give us a call at 800-357-4720.