Retirement might seem like a distant goal, but it’s never too early to begin planning for your golden years. Smart decisions now can help you build a secure financial future and enjoy the life you’ve built with your loved ones. Part of adequate preparations involves familiarizing yourself with all the common terminology used to discuss annuities, which many people utilize as part of a comprehensive retirement strategy. Empower yourself to prepare for the retirement you’ve always imagined by taking charge and staying informed — starting with this guide explaining what annuities are and the essential annuity terms every investor should know.
Understanding how an annuity works is a significant step in retirement planning. Annuities provide you with a guaranteed income stream to enjoy in retirement. As you establish terms with your insurer, you can choose to receive a payment for life or a set number of years.
Annuities come in various forms, and learning which type to choose and how the payments will affect your income is a significant part of planning your retirement. The types of annuities offered by 1891 Financial Life include:
Determining the best type depends on your unique financial situation, income, and retirement goals. Learning the terms is an excellent place to start understanding which to choose, but speaking with a knowledgeable representative to get some guidance is also helpful.
Annuities may seem complex, but getting comfortable with the terminology can help you navigate retirement planning with greater ease. Some of the most common terms to know are:
Understanding the fundamental differences between annuity types is crucial to choosing the contract and terms that provide the greatest benefits for your retirement.
Some additional terms it’s helpful to know include:
The deeper your knowledge, the more informed your retirement planning choices and control over your finances.
Retirement should be a time when you finally have time to engage in activities you’ve been putting off — from volunteering and traveling to spending time with the next generation. Identifying the best retirement strategy and implementing a plan will help you meet your long-term financial goals while building a nest egg for pursuing activities that feed your soul.
1891 Financial Life can help you decide which type of annuity is right for you, assessing the yield, interest rate, and your future liquidity needs. Contact us today to get started.
At 1891 Financial Life we don’t just sell policies, we offer possibilities. We pride ourselves on giving back to the communities that we serve by providing quality and comprehensive insurance solutions. We are a not-for-profit life insurance Society, which means the sales from these financial service products help fund member benefits along with social, educational, and volunteer programs designed to respond to community needs.
Our portfolio is extensive, ranging from various life insurance policies to our annuities to support your financial needs no matter what stage of life you’re in.