Flower of Life Insurance Group
Annuities
grow & Secure Your Retirement Income with Annuity Products
Discover a variety of annuity products that provide guaranteed income for your retirement years. We can help you discover which annuities will be the most appropriate fit your unique financial goals.
What are Annuity Products?
Annuity products are insurance contracts primarily designed to provide you with a guaranteed stream of income during your retirement years. The goal of an annuity is to ensure that you have a steady income flow and protection from outliving your assets. An annuity can be Fixed or Variable. A Fixed annuity offers a credited interest rate of return based on either a fixed (declared) rate or often an indexed rate (based on the positive performance of the market with a “floor”) for a predetermined period of time. Variable annuities are inherently riskier than a fixed annuity. A Variable annuity is subject to market volatility and its returns are based on a variety of underlying investments. *We do not sell or service variable annuities*
How do annuities work?
An annuity has two basic phases: the accumulation phase and the annuitization phase. The accumulation phase is when the annuitant funds the contract either through a series of payments or one lump sum payment. The annuitization phase begins when the annuitant begins receiving payments. The annuity payments can also be made in a lump sum or in scheduled installments. This will depend on the annuitization method.
There are Four basic payout Methods of annuities
- Life Option – Scheduled payments made for the remainder of your life. You cannot outlive the income.
- Period Certain – Scheduled payments made for a predetermined number of years.
- Systematic Withdrawal – Payments scheduled similarly to Life Option and Period Certain. Instead of being based on a specific number of payments, the total number of payments made is determined by the dollar amount of the payments.
- Lump Sum – All of your principal and gains are dispersed at once.
Is An Annuity the right choice for me?
Choosing an annuity can be a complex and confusing process. Annuities are not always the best choice for everyone’s circumstances. Like any other financial product, annuities have advantages and disadvantages that should be carefully considered before making a decision. It’s important to evaluate your personal financial goals, risk tolerance, and overall retirement plan before deciding if an annuity is right for you. By consulting with one of our Fiduciary Brokers, you can rest assured that you are making the right decision. Contact us today to see if an annuity is the correct addition to your retirement plan.