Are you within 5 years of retirement or already retired? Do you have concerns about market loss and want to protect your hard-earned nest egg? An IRA Annuity may be right for you. An annuity is a contract between you and a life insurance company for certain periods of time where you place money with them that requires the insurer to pay you either immediately in increments or in the future.
There are 3 types of annuities:
Fixed Annuities: Guarantees a fixed rate of return on your money for a specified period of time; your money is protected from market loss. This is a great CD or lazy money alternative.
Fixed Index Annuities: This annuity grows based on one or more stock indexes that allow you to earn money when the market is up (subject to a cap) and protects you from market loss when the market is down. This is a great option for clients who are approaching retirement or who are already retired. The IRS has a rule called the 72T that allows customers the opportunity to do a 1-time “penalty free” distribution of their retirement funds to an IRA while they are still working. This rule is subject to the employer’s plan documentation but many employers allow their employees to exercise this option. If you are already retired, you would simply do a rollover from your current employer retirement plan to an IRA annuity. Many of our customers are happy to discover this peace of mind option. Call to schedule your free 15-minute consultation and let us assist you with more information.
Variable Annuities: A variable annuity is the same as the fixed indexed annuity except, it grows directly based on stock market performance which means your account has a high earning potential, but it can also lose money. Integrity Financial does not offer Variable Annuities at this time.