Fixed Annuities - Hit the Right Trick & Life Goes on

Having a right vision is very crucial to chalk out timely planning with enough prudence. Those who hear the tiptoeing of rains, make the hay when it shines. Nobody likes to go through the hardships after retirement. You are no exception to it. So, it makes sense to weave plans much before your service comes to an end. Annuity investment is a good option to keep the financial crisis at bay after you call it a day. A variety of annuities is designed to meet different needs of the annuitants. Fixed annuities offer multiple benefits to the investors. This type makes the best choice for those who are either retired or about to retire. So, these groups must have informed knowledge about the nitty-gritty of the fixed annuity offer.

Fixed annuities refer to a single premium investment and ensure the purchasers about a minimum interest rate throughout the annuity's term. Fixed annuity comes in two varieties - life annuities and term certain annuities. Life annuity provides a guaranteed income after regular interval till the last breathe of the policy holder. Life fixed annuities stand for a secured source of financial assistance that the retirees can not outlive. On the other hand, the term annuities pay the stipulated income till the expiry date of the contract.

The individuals must have a fair deal of idea regarding the annuity income distribution. The fixed annuities investors are allowed to enjoy either immediate or deferred disbursement of income. Immediate income payment kicks off within one year of the contract initiation whereas deferred annuity payment starts at a point in future. Fixed annuity is a reliable investment tool as it promises a steady flow of stable income and so is the preferred choice for the low-risk-appetite group.