Annuities allow you invest your money for a predetermined number of years and take out payments later. You can choose an immediate annuity so you receive payments after your first investment or a deferred annuity. A deferred annuity permits money to grow while you’re paid from the immediate annuity.
- Your money grows while you defer tax payments.
- No annual contribution limits.
- You create a steady stream of income during retirement if you desire.
- Your annuity acts as an extra source of income, in partnership with Social Security and pension plans.