All Topics > Financial Services > Annuity Investments for Retirement >

Annuity Investments for Retirement Michigan

The basics of annuity investments and retirement planning.

Local Companies

Wachovia Securities
(517) 203-3330
1500 Abbot Rd
East Lansing, MI

Prudential Financial
(517) 853-3201
2111 University Park Dr Ste 500
Okemos, MI

Gasko & Associates
(248) 589-3576
731 Donald Ave
Royal Oak, MI

Simplified Financial Services Inc
(586) 558-5511
28007 Hoover
Center Line, MI

Leduc Financial Planning
(248) 440-6440
29100 NW Highway
Southfield, MI

Marshall Fred DO
(248) 642-3400
5100 Deep Wood Rd
Bloomfield Hills, MI

Sovran & Dillaman Llc
(810) 220-4900
10559 Citation Dr
Brighton, MI

Cambridge Connection Inc
(248) 737-7090
26111 W 14 Mile Rd Ste Ll6
Franklin, MI

Pacific Financial Group Inc
(248) 642-6880
380 N Old Woodwardt
Birmingham, MI

Econostrat Advisory Corp
(248) 645-1930
300 E Long Lake Rd
Bloomfield Hills, MI

Adapted From: Annuities For Dummies

As baby boomers enter retirement age, estate planning and sound investing loom large as they plan for a happy retirement and for leaving their children a legacy. Annuities offer a way to invest your money without the fear of losing it all to the whims of market forces.

What is an annuity?

Put simply, annuities are investments with money-back guarantees. Imagine a typical investment in stocks or bonds; then imagine that same investment with a guarantee that you'll get your money back with interest after (or over) a certain time period. That's an annuity.

Of course, annuities aren't quite that simple. Most annuity brochures and prospectuses contain enough disclaimers, footnotes, and contingencies to keep a dozen lawyers busy. But it's useful, at least at first, to ignore the complexities of annuities and take a high-level snapshot of what they are and how they work.

Many people confidently walk the financial high wire of life without a safety net. Others, especially those approaching retirement, feel more secure with a net there to catch them — just in case the tightrope snaps. An annuity is both a tightrope and safety net; it's an investment and insurance against the loss of that investment. Annuities aren't always as exciting as the investment alone (like a tightrope walker without a net), but they're not as risky.

Should you get an annuity?

This is a not a simple question. The only sensible answer is that certain annuities are right for certain people. If you recognize yourself in any of the following categories, then you should definitely explore annuities further:

People in high tax brackets often like deferred annuities because they can contribute virtually any amount of money to the plan and still defer taxes on the gains for as long as they like.
Middle-class couples in their 50s who are earning $100,000 or less and have a savings of $250,000 or more but no pension should like income annuities. They have a 50 percent chance that one of them will live to age 90.
Financial advisers sometimes put their wealthy clients' money in variable annuity subaccounts (mutual funds) instead of conventional (taxable) mutual fund accounts so that they can defer taxes on any gains they realize when buying and selling fund shares.
Pessimists who believe that the gigantic, highly leveraged house of cards (the United States' financial system) may collapse at any time, should like the guarantees that annuities provide.
Women are much more likely to need annuities than men. It's true. Women live significantly longer and are therefore at greater risk of running out of savings.

Single or widowed women are more likely to be poor in old age than single or widowed men. Many people expect that, in the future, as birth rates in developed countries (the United States, Japan, and much of Europe) fall, and the number of elderly citizens rises, a retirement financing crisis will occur. Women will probably bear the brunt of that crisis.

provided by:

For Dummies is a registered trademark of Wiley Publishing, Inc. in the United States and other countries. Used here by license.

Read more about Annuity Investments for Retirement

- Refinancing Real Estate Investments Michigan

Why should you consider refinancing real estate investments instead of selling? Maybe you've owned a rental property for years, you've paid down the mortgage, the value is up, and you want to cash in on that equity.

- Retirement Calculators Michigan
- Reasons Why To Buy Annuities Michigan
- Equity Index Annuities Michigan
- Fixed Deferred Annuity Investments Michigan
- Tax-free Retirement Planning Services Michigan
- Stages of Annuity Investments Michigan
- How To Purchase An Annuity Michigan
- Retirement Calculators Michigan
- Substantially Equal Payments Relief Michigan

Regional Articles

- Retirement Calculators Michigan

Are you trying to plan your retirement? If so, the following article tells the positive impact of retirement calculators on retirement plan.

- Retirement Calculators Michigan
- Refinancing Real Estate Investments Michigan
- Tax-free Retirement Planning Services Michigan
- Equity Index Annuities Michigan
- Substantially Equal Payments Relief Michigan
- Fixed Deferred Annuity Investments Michigan
- Stages of Annuity Investments Michigan
- How To Purchase An Annuity Michigan
- Reasons Why To Buy Annuities Michigan

Advertising	Food & Beverage	Nightlife
Business Services	Franchise	Online Database
Career	Health	Pets
Cars	Holidays	Real Estate Resources
Computer Hardware	Home Appliances	Retail & Consumer Services
Construction	Home Electronics	Software
Education	Home Services	Technology
Entertainment	Industrial Goods & Services	Telecommunications
Environmental	Insurance	Trade Shows
Family	Internet	Travel
Fashion	Legal	Weddings
Financial Services	Miscellaneous	World History

Advertising	Family	Home Services	Real Estate Resources
Business Services	Fashion	Industrial Goods & Services	Retail & Consumer Services
Career	Financial Services	Insurance	Software
Cars	Food & Beverage	Internet	Technology
Computer Hardware	Franchise	Legal	Telecommunications
Construction	Health	Miscellaneous	Trade Shows
Education	Holidays	Nightlife	Travel
Entertainment	Home Appliances	Online Database	Weddings
Environmental	Home Electronics	Pets	World History