Income Annuities - Tennessee Annuity Rates

Pros and Cons of Annuities

What are the Pros and Cons of Annuities? It may send your mind into an infinite loop to imagine using money to buy money products, but that’s just how the financial world works. And Americans did just that! In just the third quarter of 2016, USA investors analyzed the pros and cons of annuities and spent $51.3 billion on them. Sound like a lot? Maybe not. Turns out that we bought $58.5 billion in annuities in the same quarter of 2015, which represents a 12.3 percent decline in one year. What’s going on here? Have the tides turned or are more investments clogging the market and our wallets? Read on for a major return on investment. Pros and Cons of Annuities 101 Mastering annuities can

Does Your State Protect Your Annuities From Creditors?

Annuities are like other financial assets. Often times, litigation efforts and creditors are able to gain access to them. As a result, the money you worked hard for is at risk. Protect Your Annuities O.J. Simpson & Florida Exemptions For Annuities Remember O.J. Simpson? I’m not talking about the notorious car chase in the Ford Explorer. According to MarketWatch, O.J made some poor financial decisions in Vegas. Consequently, those decisions led to lawsuits that ordered him to pay back creditors. O.J. put most of his money in annuities in south Florida where he lived at the time. Lucky for him, statutes in the state of Florida shielded his annuities from being touched by creditors. “If the glove don’t fit, you must acquit” may as well be,

The Importance of Understanding The Different Types of Annuity

Understanding Different Annuities Receiving A Paycheck For The Rest Of Your Life Sounds Great, Right? This isn’t a dream. It’s actually possible thanks to annuities. Annuities are a form of life insurance. You pay a sum of money (called a single premium annuity, not to be confused with a SPIA). This can be either all at once or over a period of time (flexible premium annuity). In return, your money does not go down (only if you buy from one of our advisors), it only goes up (depending on the crediting option you choose). Also if you buy an income rider (you will pay a fee, should only be about 1%) you receive regular disbursements of that money until you’re no longer living. A staggering 84%

What Is A Tax Deferred Annuity?

Tax Deferred Annuities So you’ve decided to stop stuffing money under your mattress (or the bank account equivalent of putting it in a savings account with 0.000001% interest). Congratulations! Before you lose your motivation, let’s explore why a tax deferred annuity could be an ideal option for those funds. Although annuities are often associated with retirement income, you do not have to be on your way to your sunset years to purchase these products. Instead, read on to decide what’s the best investment for your needs. We promise this will make cents! Just the Tax Facts First up, you may have heard of tax-deferred annuities called by another name: “fixed tax deferred annuity.” For sake of brevity, we’re going to lop off the “fixed.” One

When is the Right Time to Get a Fixed Index Annuity?

Fixed Index Annuities (FIA) are growing in popularity. Positioned to take over all other annuity products in sales, FIA products are offering the best of both worlds for investors. Protect Principal, Spark Growth You can both protect principal and spark significant growth with an FIA product. One of the only downsides with FIA products is the incredible variety of crediting options available (how you make a return). With different formulas and competing companies offering the investment opportunity, it can be confusing to know when and where to buy. Financial advisors recommend the product for growth and protection. But financial advisors also warn to be wary of bad products with confusing returns. Plus, there are so many varieties of annuities available, it can be difficult to

How to Get Guaranteed Retirement Income for Life

Retirement Income for Life Hitting retirement and having no guaranteed income can be detrimental to your health. According to the American Psychological Association, older individuals with lower socio-economic status are at risk for increased mortality rates, higher stroke incidence, higher progressive chronic kidney disease, and lower health-related quality of life. So, having a secure way to receive a steady income after retirement will help you live a full life. But how do you go about doing that? How do you get guaranteed retirement income for life right now? Well, we’re here to talk about how you can get a guaranteed income stream with an annuity and avoid the scammers because they are out there. So, let’s dig in. How Does An Immediate Annuity Work? A single premium

What Happens If I Die Before I Begin To Receive Payments From My Annuity?

What Happens If I Die Before I Begin To Receive Payments From My Annuity? In the unfortunate event of the contract owner’s death before income payments begin, the beneficiary may receive a death benefit from the annuity. In some contracts, the death benefit will be based on the account value. Other contracts use the surrender value or other applicable contract value to calculate the death benefit. What if you have a spouse? Does he or she have inherent rights? If your spouse is the surviving joint owner or sole beneficiary, then he/she may have the ownership rights with all rights and privileges of the original owner, as allowed by IRS regulations.

Two Distinct Phases of an Annuity

What Are the Two Phases of an Annuity? The Accumulation (or Investment) Phase: This is the phase in which you add money to the annuity and collect interest in some form. A purchased deferred annuity is necessary when this option is utilized. You can purchase one in one lump sum. You can make investments periodically over time. The Distribution Phase: This occurs when you begin distributions from the annuity. Two general options for receiving distributions are available. The first option allows some or all of the money in the annuity to be withdrawn in a lump sum. The full contract value can be “rolled” into another agreement without paying taxes. This is called a 1035 exchange. The second option while using an income rider is to turn on the income

A Single Premium Immediate Annuity: “SPIA”

What is a SPIA (Single Premium Immediate Annuity)? An Immediate Annuity This gives you access to a stream of income immediately after you purchase it. Most immediate annuities have a unique feature. They do not give you access to your money once it is annuitized. There is one carrier that is out there that will allow you to access up to 90% of the value of the payment stream. Fill out our form and we will introduce you to one of our financial advisors that can help direct you to the best solution, NOT just a product. A Single Premium Immediate Annuity “SPIA” This may be the right annuity for you. Are you looking for payments that begin right away? How about payments that continue for the

Retirement Income: What Is A Joint And Survivor Annuity?

Retirement Income An income rider is a critical consideration. It allows you to choose insurance for the husband and/or the wife (some carriers will insurance both partners). Remember, the reason you would buy this would be for retirement. Consequently, it is the best time to buy a joint and survivor annuity. Buying A Joint & Survivor Annuity Annuity payments are received over one’s lifetime and another individual’s lifetime. The annuity issuer promises to pay an amount on a periodic basis (monthly, quarterly, or yearly). The amount received for each payment period will be the same while at least one person is alive. If it is a husband and wife and the husband passes away, for example, than the wife continues to get the same income stream.