How Annuities Work An annuity is a contract between an investor and an insurance company. The investor contributes a sum of money—either all up-front or in payments over time—and the insurer ...

Before you consider hopping onboard this new trend, it is important to understand exactly how annuities, a notoriously ...

Discover how indexed annuities offer a unique balance of growth potential, risk protection and tax advantages compared to ...

The most cited reason for their concern is the inflation risk to their employer-sponsored plan, followed by market downturns, ...

Annuities and CDs are investment vehicles that can help you achieve this. However, depending on your individual goals, one product might work better than the other. If you’re looking for a tax ...

Financial professionals see potential for further annuity growth, but educating clients and employers is key, according to ...

Understanding the essentials of taxation in retirement income strategies involving annuities helps ensure positive outcomes ...

But the plan sponsor and consultant have work to do in modifying the initial processes to accommodate the new products, like annuity target-date funds, McCarthy says. For example, most plan sponsors ...

If the inheritance includes an annuity, things can get complicated quickly. It isn’t like inheriting a Roth IRA or brokerage account. Instead, inheritance rules around annuities largely depend ...

A 1035 exchange lets you transfer your current non-qualified annuity — meaning an annuity that wasn’t funded with IRA or 401 ...

Income annuities work by converting a hefty up-front payment — or a series of payments — into a set of guaranteed income ...

For the exchange to work, you can’t simply cash out your old annuity and put the money in a new one yourself. That would be considered a full surrender and would trigger taxes and penalties.