When it comes to retirement planning, many investors are turning to fixed index annuities seeking to maximize their savings and aiming to a secure financial future. But what exactly are fixed index annuities and why should you consider them as part of your overall financial plan?
A fixed index annuity is an insurance product that combines the characteristics of both fixed and variable annuities with the potential for higher returns through participation in an equity index, such as the S&P 500. The index return is credited to the annuity, and your account value will fluctuate with the market index, subject to certain limitations. This means that you have growth potential from stock market returns without the risk of losses due to market downturns.
Fixed index annuities offer a variety of features that may potentially help you pursue your retirement goals, such as:
Guaranteed Income: Many fixed index annuities offer a guaranteed lifetime income stream that can help you enjoy a more confident retirement.
Tax Benefits: You can defer taxes on the growth of your annuity until you start taking withdrawals, which can provide potential tax savings.
Protection from Market Losses: Fixed index annuities provide the opportunity to have growth potential from market upside while aiming to protect your principal from potential losses due to market downturns.
If you’re seeking to maximize your retirement savings and pursue financial independence, a fixed index annuity could be the right choice for you. To learn more about how fixed index annuities can help you reach your retirement goals, schedule a meeting with our team today. We’ll be happy to discuss your options and help you create a financial plan that meets your individual needs and objectives. Feel free to schedule a meeting by calling us (307) 586-2700 or click this link https://go.oncehub.com/BenPayton.
Fixed Indexed Annuities (FIA) are not suitable for all investors. FIAs permit investors to participate in only a stated percentage of an increase in an index (participation rate) and may impose a maximum annual account value percentage increase. FIAs typically do not allow for participation in dividends accumulated on the securities represented by the index. Annuities are long-term, tax-deferred investment vehicles designed for retirement purposes. Withdrawals prior to 59 ½ may result in an IRS penalty, and surrender charges may apply. Guarantees are based on the claims-paying ability of the issuing insurance company.