One of the first stages of creating a comprehensive retirement strategy is to develop an income plan for retirement. During this process, we’ll want to examine all of your likely sources of retirement income and discuss ways to enhance it.
We can develop a detailed plan to help maximize your Social Security benefit in retirement, evaluate your pension or other retirement plan to understand what it will and won’t provide, and structure your assets so they can generate income without being exposed to much risk.
In many cases, an annuity may be a key tool used to help build an effective retirement plan. When utilized properly, annuities can provide you with a lifelong source of income. Depending on the type of annuity, it may be more conservative or aggressive in nature. Fixed and fixed index annuities have low levels of risk exposure and tend to yield moderate but more reliable returns. Variable annuities, on the other hand, are exposed to more risk and usually have higher and more volatile rates of return.
Like many other types of financial products, annuities can become quite complicated. Consequently, some people lack an effective understanding of annuities and the important distinctions between the various types, often blending and confusing their different aspects. The unfortunate result of this misinformation is that some people fail to realize the potential benefits annuities can have when they are used properly by a skilled professional.
At Morgan Wealth Management, LLC, we have the experience, skill, and education to help you determine whether or not an annuity might be an appropriate tool for your situation. We will thoroughly explain the potential benefits and disadvantages of each type of annuity so you can craft the retirement income plan that works best for you.
Annuities are designed to be long-term investments. Early withdrawals may impact annuity cash values and death benefits. Taxes are payable upon withdrawal of funds. An additional 10% IRS penalty may apply to withdrawals prior to age 59 ½. Annuities are not guaranteed by FDIC or any other governmental agency. Guarantees are based on the claims paying ability of the issuing insurance company. Fixed Indexed Annuities are insurance products and not considered a security or investment. Some restrictions may apply. Call for specific details and availability.