Deferred Annuity

A deferred annuity is most appropriate for people who want to:

• Save for future retirement
• Not touch the principal and interest until age 59 or older
• Find an investment that will earn tax-deferred interest for many years
• Save more than the maximum annual contribution of their IRA or 401(k)
  

Immediate Annuity

An immediate annuity is most appropriate for people who want to:

• Retire in the very near future, or are already retired
• Begin drawing an income from a lump sum of money that they currently have
• Derive an immediate return on their investment
• Receive a steady monthly check for the rest of their lives

The immediate annuity allows you to deposit a lump sum and begin receiving regular payments normally within one year after the deposit. It is usually funded with a single premium, and purchased by retirees with funds they have accumulated for retirement. These annuities can provide a steady stream of payments that will continue for the rest of your life, or for a time period you choose.

When considering an Annuity...

Annuities offer the advantage of no contribution limits (subject to insurance company maximums), whereas IRAs, SEPs, 401(k)s, Keoghs and other qualified retirement plans have annual limits.

Moreover, many annuities have no forced distribution until age 90+, unlike many retirement plans that require distribution by age 70½. In addition, proceeds from annuities are not subject to probate and may be passed directly and immediately to your designated beneficiary.