Annuities, depending on the type, can help you protect your savings from market volatility, safeguard your principal, offer tax-deferred growth, and offer guaranteed lifetime income. It’s that simple. Finally, annuities offer flexibility. Whether you’re looking to earn a guaranteed rate, take advantage of tax-deferred growth, or guarantee income now or in the future, there’s an annuity product designed to meet your specific goals.

Annuities continue to grow without being taxed until you take your money out, making them an advantageous investment if you’re currently in a higher tax bracket. In many cases, only the interest or gains will be taxed as ordinary income, eliminating any concerns about capital gains (as always, be sure to talk with your tax advisor before an investment). Understanding the tax implications of annuities will help you optimize their benefits within your financial plan.

If you choose an income annuity, you can structure payouts to be:

Plus, you can select an annuity with a rider providing death benefits or long-term care, among other options. Please note: While these add-ons can enhance the annuity’s utility, they often come with additional costs.