Annuities

Why Consider an Annuity?

Annuities can play an important role in a well-rounded retirement plan by providing diversification, stability, and additional income options.

Many retirees are uncomfortable relying entirely on investments tied to the stock market. Market volatility can be stressful, especially for those who are approaching retirement or already living on their savings. An annuity can help balance a portfolio by adding a source of retirement assets that is not directly exposed to daily market fluctuations.

Another reason people consider annuities is the potential for greater confidence in retirement. Depending on the type of annuity selected, they may offer principal protection, guaranteed income options, or both. This can help create a more predictable financial foundation alongside other retirement assets.

Annuities can also provide flexibility for individuals who want to save beyond the contribution limits of traditional retirement accounts. Because many annuities allow after-tax contributions without annual contribution limits, they may be useful for those looking to supplement their retirement savings or set aside additional funds for future income needs.

The right annuity can help support your overall retirement goals, but it is important to evaluate the features, benefits, costs, and limitations of any annuity before making a decision.

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