Annuities

binders_420x315When comparing a CD with an Annuity…
You will want answers to a few important questions.

The primary purpose of a deferred annuity policy is to provide a safe, systematic accumulation and distribution of money under guaranteed contract provisions.

  • Single or multiple premium payments for varying amounts can be made at any time
  • Annuity cash value accumulations are always available upon request by the policy owner.
  • In event of death, proceeds pass directly to the named beneficiary avoiding delay, estate settlement costs and publicity.
  • Income tax is deferred on annuity accumulations until funds are withdrawn from the policy. interest is credited on both the interest earnings and savings.
  • An annual statement is provided to the annuity owner following the end of each calendar year.

Below are the following programs Annuity Contracts can be used to provide.

  • Traditional Individual Retirement Annuities (IRA)
  • Roth IRA’s
  • Tax Sheltered Annuities (TSA)
  • Simplified Employee Pension (SEP)
  • C.D. Alternative

Annuity Advantages

  1. No Market Risk
  2. Call protection – An annuity can’t be called, but a high yield bond will be called in a low rate environment
  3. No default risk
  4. Taxes are deferred – you decide when to pay the taxes
  5. 10% FREE WITHDRAWAL annually
  6. Competitive interest rates with guaranteed minimum rates.