Is there an Annuity in your Future?
Among the financial vehicles that are used to fund many people's retirement is the annuity. There are many annuity programs in the market that you can buy in order to provide you with a continuous income stream for the remainder of your life. Many annuity products also provide for a 'second to die' benefit in which the monthly income stream continues to your spouse even after you are gone. There are many advantages and disadvantages to an annuity and you need to fully understand what you are purchasing. When you buy an annuity, there is not normally any asset remaining from those funds to pass on to your heirs, as there would be if you simply invested the funds. Offsetting that disadvantage is the guaranteed income, and some even have escalation clauses to provide for a cost-of-living adjustment. Seek the advice of an objective financial planner, your CPA, attorney, or advisor before investing in an annuity. Most annuities are good and valuable tools, just make sure the one you are considering is as represented. Just as you "Don't ask the barber if you need a haircut", you should not rely solely on the advice of a person or company that is selling you an annuity. There have been many scam artists out there who confuse people and promise them the world to get them to purchase an annuity and many folks have been cheated out of their hard-earned money. Don't let this happen to you!
Note: The author, publisher and webmaster of Retireeworld.com never gives legal, accounting, medical or any other type of advice. The reader must always seek those services from competent professionals that can review their own particular circumstances. We particularly disclaim any liability, loss, or risk taken by individuals who directly or indirectly act on the information contained herein. All readers must accept full responsibility for their use of this material
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