Funding Your Future with Annuities

When it comes to filling the gaps of your retirement income, an annuity can help. Designed to pay a steady stream of income in your retirement years, annuities come in three forms:

• Fixed Annuities: Offer a fixed interest rate ensuring your balance will grow at a steady rate.
• Variable Annuities: Let you choose where to put your money from a selection of investment accounts. Performance is based on success of the investments you choose making these a more high-risk, high reward investment. 
• Indexed Annuities: Are often considered the best of both worlds, taking advantage of potential gains in the market while protecting you from loss with a guaranteed¹ minimum interest rate.

You can begin to receive annuity payments upon reaching age 59 ½ (any earlier and you’ll be charged penalties). It’s up to you how you’ll be paid – one lump sum, annually, quarterly, etc.² – and you can also decide how long you’ll receive payment with options ranging from one-time to a lifetime. 

Annuities are often just one component of a retirement strategy that could include Social Security, 401(k) plans and/or IRAs. Your Farm Bureau agent can be a valuable resource when it comes to choosing an annuity as part of your overall strategy.