Metairie Immediate Annuities
Retirement planning has changed a lot throughout the years and will continue to do so. While pensions and Social Security have been dependable options for retirement income, they are shifting to a point where they will only be available to some. This means it’s very important to prepare now for what will occur in retirement. Immediate annuities are a product that have helped people accomplish this goal.
What Are Immediate Annuities?
Before we can explain the specifics of this product, we need to discuss annuities in general. Annuities are financial products that function as an agreement between a person and a financial institution. The individual makes a lump sum payment to the financial institution, who agrees to make regular payments back to the person throughout the life of the annuity. Relating to when these payments occur, there are two basic kinds of annuities: deferred and immediate. Deferred annuity payments start at later date while immediate annuities can start payouts almost immediately.
Immediate annuities are typically chosen by those who are looking for steady income payments to start within a short amount of time. The growth of the funds placed within an immediate annuity is tax-deferred, which means you aren’t required to pay taxes on this increase until the money is withdrawn.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. A great thing about working with Gregory Ricks & Associates for wealth management is that we are able to work with several of these financial institutions to provide our Metairie customers with options. This structure allows us to select an immediate annuity that will best fit your needs.
Want to learn more about Metairie immediate annuities? Talk to one of our experienced financial advisors. After a simple conversation on your current finances and retirement goals, we will be able to figure out if an immediate annuity is a good choice for you. Call us today and schedule your appointment.