Finding The Right Annuity Type For You
Upon retirement, you may consider purchasing an annuity using your retirement plan. You don’t have to buy an annuity but if you want a regular income, it may be the right solution for you and thus is worth exploring. Buying an annuity may contain options that are irreversible decision, so spending time looking at the options and shopping around is important.
Choosing an annuity means more than just getting the best market value.
An annuity broker who suggests an annuity will have to choose one they think is right for you, based on your information. There are lots of options out there. To make an appropriate suggestion they need full information about your life and financial situation.
Expect your broker to ask about:
1. Your Age
2. Your Financial Situation (assets, debts, income, tax status, how you plan to pay for the annuity)
3. Your Risk Tolerance
4. Your Financial Goals & Experience
5. How You Plan To Use The Annuity
If you are not comfortable with the annuity, ask the broker of your annuity to explain why they recommend it. Don’t purchase an annuity that you don’t understand or it doesn’t seem right for you.
Within the various types of annuities, you have several options for how you want the revenue to be paid. If you have decided to purchase an annuity after getting guidance or advice, you can explore the market to help make sure you can have the choices for yourself and family.