Do Annuities Last Forever?

Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

Do Annuities Last Forever?

Annuities are a popular financial product for those looking to secure a steady income stream during retirement. Understanding the duration of annuities is crucial for anyone considering this option. This guide will explain how long annuities can last, the different types available, and factors to consider when choosing one.

How Long Does An Annuity Last

Types of Annuities

Annuities come in various forms, each with different durations and payout structures. Here are the main types:

  1. Immediate Annuities: These start paying out almost immediately after a lump-sum payment is made. They can be structured to provide payments for a set number of years (term certain) or for the lifetime of the annuitant (life annuity).
  2. Deferred Annuities: Payments begin at a future date, allowing the investment to grow over time. Deferred annuities can also be set up to provide lifetime income or payments for a specific period.
  3. Fixed Annuities: These offer guaranteed payments for a specified period or for life. The payments are predetermined and not affected by market conditions.
  4. Variable Annuities: Payments fluctuate based on the performance of underlying investments. They can provide income for life or a set period, but the amount may vary.
  5. Indexed Annuities: These are tied to a market index, such as the S&P 500. They offer a guaranteed minimum return with the potential for higher returns based on market performance. Payments can last for a set period or for life.

Lifetime vs. Term Certain Annuities

Annuities can be structured to last for different durations. Here’s a closer look at the options:

  1. Lifetime Annuities: As the name suggests, these provide payments for the rest of your life. This can be a great option for those worried about outliving their savings. Some lifetime annuities also offer a period certain option, ensuring payments continue to beneficiaries if you pass away early.
  2. Term Certain Annuities: These payout for a specific number of years, such as 10, 20, or 30 years. Once the term ends, payments stop. This option can be useful for those who need income for a known period, such as bridging the gap between retirement and Social Security benefits.
Do Annuities Last Forever

How We Can Help

At The Annuity Expert, we understand that planning for retirement can be overwhelming. With 15 years of experience as an insurance agency, annuity broker, and retirement planner, we’re dedicated to helping you find the best solution at the lowest cost.

Your Core Problem

You want financial security in retirement, but the variety of annuity options and the complexity of each can be daunting. The symptoms of this problem include anxiety about outliving your savings, confusion over the best annuity type, and uncertainty about the impact of fees and expenses on your retirement income.

Our Solution

We specialize in demystifying annuities, ensuring you make informed decisions that align with your financial goals. We believe in providing personalized advice and tailored solutions, so you feel confident and secure about your retirement plan.

Inperpetuity Annuity

What We Recommend

  • Step 1: Initial Consultation
    • What Happens: We discuss your financial goals, retirement timeline, and current savings.
    • Main Benefit: You receive a clear understanding of your options and how annuities can fit into your overall retirement strategy.
  • Step 2: Customized Annuity Plan
    • What Happens: We create a tailored annuity plan based on your needs, considering factors such as longevity, beneficiaries, and inflation protection.
    • Main Benefit: You get a customized solution that maximizes your retirement income and aligns with your financial goals.
  • Step 3: Implementation and Support
    • What Happens: We assist with the implementation of your annuity plan, ensuring all paperwork is completed accurately and efficiently.
    • Main Benefit: You have peace of mind knowing that your annuity plan is in place and will provide the financial security you need.

Features and Benefits

  • Personalized Advice: Tailored to your specific needs, ensuring you make informed decisions.
  • Comprehensive Plan: Addresses all aspects of your financial goals, providing a holistic approach.
  • Expert Support: Continuous support and advice, ensuring your plan remains effective and relevant.

Overcoming Objections

  • Concern: Annuities are too complex.
    • Counter: We simplify the process, providing clear and concise explanations.
  • Concern: Fees and expenses will eat into my returns.
    • Counter: We ensure you understand all costs upfront and help you choose the most cost-effective options.

Without our expert guidance, you might choose an annuity that doesn’t fully meet your needs, potentially compromising your financial security in retirement.

By working with us, you’ll have a personalized, well-structured annuity plan that ensures a reliable income stream and peace of mind in retirement.

You’ll experience confidence, security, and peace of mind, knowing your financial future is well-planned and secure.

Contact us today for free advice or a quote. Let The Annuity Expert help you secure your financial future.

Free Annuity Assistance

Get help or a quote from a licensed financial professional. This service is free of charge.

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Shawn Plummer, CRPC

Chartered Retirement Planning Counselor

Shawn Plummer is a Chartered Retirement Planning Counselor, insurance agent, and annuity broker with over 14 years of first-hand experience with annuities and insurance. Since beginning his journey in 2009, he has been pivotal in selling and educating about annuities and insurance products. Still, he has also played an instrumental role in training financial advisors for a prestigious Fortune Global 500 insurance company, Allianz. His insights and expertise have made him a sought-after voice in the industry, leading to features in renowned publications such as Time Magazine, Bloomberg, Entrepreneur, Yahoo! Finance, MSN, SmartAsset, The Simple Dollar, U.S. News and World Report, Women’s Health Magazine, and many more. Shawn’s driving ambition? To simplify retirement planning, he ensures his clients understand their choices and secure the best insurance coverage at unbeatable rates.

The Annuity Expert is an independent online insurance agency servicing consumers across the United States. The goal is to help you take the guesswork out of retirement planning and find the best insurance coverage at the cheapest rates

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