Common Questions
- What are the consequences of market volatility and fluctuations in interest rates on your retirement savings and income, such as losing a significant portion of your savings, or not being able to maintain your standard of living in retirement?
- What are the consequences of not having a reliable and predictable stream of income in retirement, such as running out of savings, not being able to cover your expenses, or having to rely on others for support?
- What are the consequences of not having a plan to protect your retirement savings from inflation, such as having to withdraw more money than you planned, or not being able to maintain your purchasing power over time?
- What are the consequences of not having a plan to ensure that your spouse or heirs are taken care of in the event of your passing, such as leaving them with insufficient resources or financial burdens?
This service offers a reliable source of income and financial stability for individuals in their post-career phase.
Other Common Uses
By converting a lump sum of money into an annuity, individuals can protect their assets and ensure they have a reliable income stream, reducing the risk of outliving their savings.
They can be structured to pass on assets to beneficiaries, potentially avoiding probate and ensuring a smooth transfer of wealth.
By providing a long-term income stream to help cover medical expenses and living costs resulting from the injury. This helps ensure that the funds are managed wisely and last for the injured party’s lifetime.
With the growth potential and tax advantages they offer, annuities can help individuals set aside funds for their children’s or grandchildren’s education
Annuities can be part of a business succession plan, ensuring a smooth transition of ownership and providing retirement income for the outgoing business owner
Several accounts that can be rolled over to an annuity:
Employer-Sponsored Retirement Plans: Annuities can accept rollovers from employer-sponsored retirement plans such as 401(k) plans, 403(b) plans, and 457 plans. When leaving a job or retiring, individuals can transfer the funds from these plans into an annuity to provide a guaranteed income stream.
Traditional IRAs can be rolled over into an annuity. The rollover is typically done through a direct transfer or trustee-to-trustee transfer to maintain the tax-deferred status of the funds
Roth IRAs can also be rolled over into an annuity. However, it’s important to note that since Roth IRAs are funded with after-tax contributions, the tax treatment of the annuity will depend on the timing and nature of the withdrawals.
SEP IRAs, which are retirement accounts set up by self-employed individuals or small business owners, can be rolled over into an annuity to provide a steady income stream during retirement.
SIMPLE IRAs, which are retirement plans available to small businesses, can be rolled over to an annuity to create a reliable income source after retirement.