Should I Buy An Annuity

What Are the Pros of Annuities.

Should i buy an annuity. Depending on who you talk to youll get very different answers to the question Should I purchase an annuity In fact in the right circumstances there are some great reasons to buy an annuity. If you purchase a single-life annuity it will only pay an income to you the sole beneficiary and after you die all remaining funds will be kept by the insurer. So the first step is to look at your financial situation and goals and consider given all that if you should buy an annuity.

Absolutely if youre 70-years-old you should never buy an annuity. In many cases the answer to the question Should I purchase an annuity is an emotional not necessarily a. When you buy an annuity youre essentially using your pension to pay a lump sum of money to an insurer.

As a result annuities have become increasingly popular in light of their advantages. Drawing a bit less say 595 a month which is still 50 more than the annuitys payment would allow your savings to last longer roughly to age 88. An annuity offers a unique way to grow your retirement savings portfolio.

The truth of course depends on your own goals values attitudes and finances. But theres still a better than one-in-three. Advisers research the annuity market for you and make a recommendation based on your goals.

Although annuities are often sold as investments they shouldnt be thought of as an investment product. In its most basic form an annuity is essentially an insurance and retirement account hybrid that offers various ways to grow your funds. However there are also significant reasons to walk away.

Your annuity should be set up within 30 days. My financial adviser wants me to buy an annuity. When purchasing an annuity it is recommended that you shop around and really know exactly what you are paying for.