The Option of Annuity Income
Annuity income can provide you with a guaranteed* income, without having to give up the rights to your money. The right kind of annuity is essentially a “safe money” option. They allow protection of principal, and additionally, some allow you to also earn a reasonable rate of return.** When the market rises, your annuity can still grow, assuming you have the right type. When the market falls, meanwhile, your money is protected.
Where should you keep your money? Hybrid Financial can help you decide. We look at the whole picture, we ask questions about your goals. And we take the time to educate you. Do you know what your current fees are? Are you comfortable with your current rate of return? Have you considered the potential risks? Our approach will help you decide on a strategy that suits you.
Misconceptions About Annuity Income
There are certain myths about how annuity income is created. You may hear some advisors say that “certain annuities are bad.” Why do they say this? Well, for one thing, many brokers make most of their money by managing dollars clients have in the stock market. Although they make money on selling an annuity, Some advisors still avoid recommending them, because they simply receive more money on managing money in the market.
It’s also important to note, that not all annuities are created equal. Some brokers do have annuity products, but many of those products depend on the stock market. In many cases, this means you could lose your principal in the event of a market crash. Hybrid Financial does things differently. We ensure our clients get the annuity income they need, without risking their money in the market. We do this by working only with trusted and reliable insurance companies. If you’re looking to protect your principal and still have a decent rate of return, you should learn about these types of annuities.
More About Annuity Income
We use a process to determine if annuity income is the right option for you. Firstly, we offer dinner seminars during which we explain how the market works. During these events, we teach you about how it is that annuities differ from most retirement vehicles. Next, we can meet you one-on-one to discuss your retirement strategy, and go over different factors together. The factors we review include:
- Which stage of retirement you're in
- How much in liquid assets you have
- How much of that cash is available for emergencies
- How comfortable you are with risk
- Whether or not the annuity income will be enough to cover your expenses
Annuities: Then Vs Now
There was a point when options were much more limited when it came to annuities. For example, some annuities offered protection of principal but offered a low interest rate. Others, meanwhile, provided a better interest rate but came with the risk of losing money. Neither of these options were really very helpful. Thankfully, the industry has changed.
Annuity offerings have changed over the course of the last 10-15 years. You can now find annuity income that suits your needs if you work with the right company. Protection of your money, a reasonable rate of return,** and in some cases, the opportunity to leave behind a legacy.
Additionally, annuities can have further benefits. For instance, you might be able to use the money for unexpected benefits. These include funding for final expenses and additional income with long-term care features. Retirees have more income options available now than ever before. Work with a licensed annuity advisor to determine if an annuity is right for you.
Why Selecting the Right Annuity is Important
The stock market goes up and down. By its nature, there tend to be drastic swings. An annuity, though, is much more stable. There is steady accumulation, but no loss. The “green line” of an annuity shows that sometimes, a slow and steady method can achieve your long-term financial goals.
Looking to Learn More About Annuities?
Attend a seminar or schedule an appointment with us. We can find out if an annuity is right for you.