Immediate Annuities in Metairie
No matter what we prefer, planning for retirement is changing and will continue to change. It is tough to bank on Social Security when its future is uncertain. This means it’s very important to prepare now for what will happen in retirement. For many people, immediate annuities are a product that can help them accomplish this goal.
About Immediate Annuities
Before we can explain the specifics of this product, we must first discuss annuities in general. Basically, an annuity is a financial product that functions as an agreement between a person and an insurance company. The annuity owner makes a lump sum payment to the company and the company agrees to make regular payments back to the owner at a predetermined time. There are two basic kinds of annuities, deferred and immediate, that determine how and when these payouts occur. Deferred annuity payments occur at later time while immediate annuities can start payouts within a few weeks.
Immediate annuities are often chosen by people who are looking for steady income payments and need them to start soon. The growth of the funds placed within an immediate annuity is tax-deferred, which means you do not need to pay taxes on this increase until the money is withdrawn.
Because there are many companies that sell them, there are several options when it comes to immediate annuities. The great thing about choosing Gregory Ricks & Associates for retirement planning is that we are able to work with several of these financial institutions to provide our Metairie customers with options. This allows us to select the immediate annuity that will best fit your needs.
Learn more about immediate annuities by meeting with one of our experienced financial advisors in the Metairie area. We’ll be happy to discuss your financial and retirement goals to decide if one of these products would be a good fit for you. Call us today to schedule your appointment.