All Topics > Financial Services > How To Purchase An Annuity >

How To Purchase An Annuity Georgia

There are basically two types of annuities. A fixed annuity earns a guaranteed interest rate over a specific period of time, while a variable annuity offers a much greater range of investment funding options than fixed annuities.

Local Companies

Community Investment Services Inc
(404) 696-2688
3915 Cascade Rd Sw
Atlanta, GA

Associated Securities Corp
(404) 634-1998
2200 Century Pkwy Ne
Atlanta, GA

Edward Jones Investments
(678) 474-9110
3855 Johns Crk
North Metro, GA

Argent Securities Inc
(404) 965-5353
100 Tower Pl
Atlanta, GA

Bg Securities
(404) 381-9795
1442 Bouldercrest Rd Se
Atlanta, GA

Bradford J C & Company
(404) 364-3770
3350 Peachtree Rd Ne
Atlanta, GA

Capstone Financial Partners
(404) 261-8900
3333 Peachtree Rd Ne
Atlanta, GA

Newell Financial Services Group
770-717-0822
3050 Five Forks Trickum Road, Suite D-626
Lilburn, GA

Cross Financial
706-244-9399
837 E. Currahee Street Suite 100
Toccoa, GA

Agora Brokerage
(404) 256-2994
5784 Lake Forrest Dr Nw
Atlanta, GA

There are basically two types of annuities.

Fixed Annuities

A fixed annuity earns a guaranteed interest rate over a specific period of time. When this period of time expires a new interest rate is set for the next period of time. Is important to note that a fixed annuity is not backed by the Federal Deposit Insurance Corporation (FDIC).

Variable Annuities

Variable annuities offer a much greater range of investment funding options than fixed annuities. Because their performance depends on the investment options your principal and return are not guaranteed. Some variable annuities offer a fixed accounts alternative that guarantees principal and interest a lot like fixed annuities. You can then divide your funds between the low-risk option as well as high-risk options such as stocks.

Purchasing Annuities

There are two ways to purchase annuities. You can either pay the premium using one lump sum or you can make ongoing contributions to what is called a flexible payment annuity. With a flexible payment annuity you can contribute money pretty much any time you want. Another benefit of variable annuities is that they allow you to transfer money from one account to the other without having to pay taxes on any earnings you make as a result of the transfer. The disadvantage of variable annuities is that you will most likely pay higher fees than you would with a fixed annuity.

If you are wanting to save money for retirement a fixed tax deferred annuity may be the best option for you. With a tax-deferred annuity you don't pay taxes until you make a withdrawal or begin receiving annuity income. This can allow you to accumulate a greater amount of money over an extended period of time. You should think carefully though before putting money into a tax-deferred annuity. If the money is needed before age 59 and you withdrawal the money the IRS may apply heavy penalties. In addition the insurer may also impose its own withdrawal penalties which are often cause surrender fees.

You can also purchase what is called an immediate annuity. When you purchase an immediate annuity you make a one-time payment and distributions usually begin within 30 days. Immediate annuities can be fixed or variable. Because an immediate annuity can provide stable income payments guaranteed for a selected period of time, this is a good option if you need a financial vehicle that can provide guaranteed income for life.

Before purchasing an annuity is important to speak with a professional financial adviser so you have an understanding of the various tax consequences of an annuity as well as the expenses which may be associated with the contract.

About the Author:

Jakob Jelling is the founder of http://www.cashbazar.com. Visit his website for the latest on personal finance, debt elimination, budgeting, credit cards and real estate.

Article Source:

thePhantomWriters Article Submission Service

Featured Local Company

Community Investment Services Inc

(404) 696-2688
3915 Cascade Rd Sw
Atlanta, GA

Read more about How To Purchase An Annuity

- Stages of Annuity Investments Georgia

A look at the different stages and life cycle of an annuity investment.

- How Structured Settlements Work Georgia
- Advanced Life Deferred Annuities Georgia
- Reasons Why To Buy Annuities Georgia
- Steps Before Making A Major Purchase Georgia
- Fixed Deferred Annuity Investments Georgia
- Annuity Georgia
- Annuity Investments for Retirement Georgia
- Equity Index Annuities Georgia
- Substantially Equal Payments Relief Georgia

Regional Articles

- Steps Before Making A Major Purchase Georgia

Should I Look For Financing Before I Make A Major Purchase? Yes, yes and yes. Get your financing before you start shopping for a home, vehicle or other major purchase. By doing this beforehand you'll save yourself lots of money.

- Equity Index Annuities Georgia
- Substantially Equal Payments Relief Georgia
- Fixed Deferred Annuity Investments Georgia
- How Structured Settlements Work Georgia
- Reasons Why To Buy Annuities Georgia
- Annuity Investments for Retirement Georgia
- Annuity Georgia
- Advanced Life Deferred Annuities Georgia
- Stages of Annuity Investments Georgia

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