Annuities in Fruitland, MD
Investing in your future is critical as you plan for retirement and your golden years. Ideally, there will be a time when you can hang up your work attire and enjoy the rest you’ve earned over a long career. Reaching this day can require a multifaceted approach consisting of various savings and investment approaches, such as purchasing annuities.
What Are Annuities? 
These financial instruments can generally be considered contracts you purchase through an insurance company with future economic needs in mind. Revenue earned or secured through an annuity can be tapped later in life, potentially providing a reliable and consistent income stream to fund or supplement retirement.
How Do I Compare Different Types?
Annuities may come in many forms and exploring available options is key. You should first identify your financial goals and means, including considering other assets and savings, as well as how much income you’ll need to maintain your lifestyle following retirement. Risk tolerance must also be considered, as certain annuities can be more volatile, albeit also more lucrative, than others. Consider the following primary types:
- Fixed annuities—These investments can provide a guaranteed growth rate without risk of losing value over time.
- Variable annuities—This type of annuity may include aggressive potential for growth, albeit at greater risk due to direct ties to market conditions.
- Indexed annuities—These can provide a hybrid between fixed and variable options, as they may include a minimum guaranteed interest rate while tying growth to an underlying index, such as the S&P 500.
Are There Fees?
Purchasing and maintaining annuities may require you to account for several types of fees, including the following:
- Commissions are typically charged by an insurance broker upon purchasing your annuity.
- Administrative fees may cover the costs of managing your investment, including processing transactions and keeping records.
- Surrender charges may be applied if you need to withdraw funds from an annuity earlier than anticipated.
- Mortality expenses are charged by your insurance company to guarantee that your family can receive an annuity’s value as a death benefit should you die before withdrawing its funds.
We’re Here to Help
Contact MANN & GRAY Insurance Associates today to learn more about annuities and begin securing your future prosperity.