Because of the COVID-19 virus, many residents of Roseville, CA have their lives profoundly interrupted and changed. Children no longer go to school, some people work from home, and the truly unfortunate have lost their jobs entirely.
This caused a lot of uncertainty for the people of Roseville, CA, as well as the rest of the world, since this is not just an American problem, but a global pandemic. Much of this uncertainty is centered around the near future of how the USA and the rest of the world will cope within the next year. But many are also wondering about the future and how long term plans, like retirement, may be affected. An annuity is one of the ways to help alleviate this uncertainty.
What Is An Annuity?
Annuities are a type of financial product, almost like insurance. This means, as with insurance, or a mortgage, there is a monthly payment. These payments go towards a larger collective fund that all annuity holders are a part of. The money is invested in different areas to maximize profit and reduce the volatility of being solely dependent on one type of investment.
When the annuity matures, the years of payment go “in reverse.” Now the annuity holder receives a monthly payment. The most popular use of annuities is as a retirement fund. The diversity of the investments shields annuity holders from the perils of stock market performance but provides much more financial coverage than a simple savings account.
How Do You Get An Annuity?
Applying for an annuity is relatively painless. You can talk to an experienced insurer or another expert in financial products. This isn’t like a life insurance policy where sometimes rigorous qualifications need to be met, such as passing a medical exam.
However, applying for annuity does have certain unusual conventions. In many cases, such as mortgages or insurance, applying earlier is better. This can be the opposite for an annuity. Someone that is still in their prime in their 20s or 30s should probably not look into an annuity just yet. But someone with the income to invest who is already over the age of 65, or even 70, may benefit more.
Find Out Your Needs
If you live in Roseville, CA and you’re concerned about a stable income during retirement, an annuity may be the answer to what you’re looking for. There are different types of annuities with varying structures of payment. Some annuities have set “terms” where payment will terminate after a certain number of years have passed. Others have conditions that last the remainder of a lifetime once the payments begin.
Which annuity will be right for you is something that is entirely dependent on your current financial situation and what plans for the future you have. If you’d like to know more about the options that best suit your retirement plans, we can help. Contact https://asurea.com, and we can help you go over the various annuity options that line up with your finances and long term retirement strategies. We can find the right annuity for you.