Fixed & Variable Annuities

Fixed and variable deferred annuities are a great option for anyone who wants to save more for their retirement. Fixed annuities are a good choice if you're 5 to 10 years away from retirement. It's a safe way to grow your money without risking your initial investment. Variable annuities, on the other hand, can be a smart move if you're closer to retirement, or if you're younger. That's because there are a range of investment options that can match your situation and risk tolerance. See how your advisor can help you create a retirement plan with the right annuity for you.

Saving in a 401(k) and taking advantage of your employer's match is a smart move. But both 401(k)s and IRAs have caps on how much you can contribute annually. Annuities are another way to save for retirement without limits on how much you can contribute. Ask your advisor for more details. Get matched today.

Variable annuities are long-term investments that can help you save money for retirement. The money you put into them grows tax-deferred, like with an IRA or a 401(k). They have multiple investment options, which you can choose from. There are no limits on non-qualified contributions, so when you take money out down the road, only your earnings are taxed as income. When you're ready to take your money out, you'll have a few options. You can convert it into a guaranteed, lifelong income annuity, or you can take your money in one lump sum. Find out more about how variable annuities work.

Fixed annuities are a way to save money for retirement. The money you save is tax-deferred like in an IRA or a 401(k) and you'll get a guaranteed minimum rate of return.¹ There are no investment options with fixed annuities, but you'll get fixed payments under the conditions you choose when you buy the annuity. There are no limits on non-qualified contributions, and only your earnings are taxed when you make a withdraw. When you're ready to take your money out, you'll have a few options. You can convert it into a guaranteed, lifelong income annuity, or you can take your money in one lump sum. Find out more about the different types of annuities.

Variable annuities are considered investments. Fixed annuities are not. With a variable annuity, you can choose where your premiums are invested. Your annuity's rate of return is based on the performance of those investments. Variable annuity rates aren't guaranteed. But they have the potential for higher returns than a fixed annuity. Variable annuities, on the other hand, might go down in value, but fixed annuities will not. Find out more about annuities as investments.

Fixed and variable annuities are the two ends of a spectrum. There are other types of annuities that fall in between and include features of both fixed and variable annuities. An indexed annuity is one of them. It has the potential for growth, like a variable annuity. It also has a guaranteed minimum rate of return, like a fixed annuity. However, there are some drawbacks like longer surrender periods and less true market participation.

Fixed annuities often have higher minimum premiums and are generally funded with a single payment. Variable annuities generally have lower premiums and can be funded with either a single payment or ongoing contributions. The actual dollar amount you pay depends on your personal goals and situation.