Accumulation and Distribution, be sure you understand your options. Most people today face the daunting task of living off their retirement savings for the rest of their lives. Traditional pensions are in the minority these days, as more and more companies and institutions move away from them. One of the [...]
In its simplest definition, an annuity is an amount payable annually. For our purposes, however, an annuity describes a contract offered by an insurance company that allows you to accumulate funds for retirement on a tax-deferred basis. Upon retirement, you’ll receive income from the annuity that can be guaranteed by the insurer to last either a fixed number of years, or as long as you live. An annuity is neither life insurance nor a health insurance policy, and it’s not a savings account or a bank Certificate of Deposit.