Finding The Best Annuity Rates For You

Annuities offer guaranteed lifetime income for your retirement.  Choosing the right annuity for you is critical—there are numerous different types and they can be complex.  As a Certified Annuity Specialist, Jarvis Financial demystifies the annuity world. We will explain all the implications, options, and benefits.

Annuities have become more popular with high-net worth investors looking for the safety traditionally offered by bonds.  Our educational consultation method will help you find the best product for your unique situation, and fit with your wealth management strategy.

Many satisfied customers have benefited from our annuity advice, and there is sure to be a specific product that will enhance your investment plan.

Advantages of Annuities

• Tax-deferred growth
• Guaranteed Lifetime Income
• Income and Health flexibility through riders
• Legacy benefits
• Protection from creditors

 How Annuities Offer an Alternative to Bonds

What are the different types of Annuities?

Fixed Annuities

This is the vanilla option.  As the name suggests a fixed annuity will yield a fixed return. The advantage is the certainty of the future payments but the returns will be limited—but higher than a bank CD.  They can work well as a conservative hedge accompanying other investments.

Indexed Annuities

Indexed annuities offer guaranteed reward with minimal risk. Rather than paying a fixed rate of interest, your return is based on the return of a specific market index, such as the S&P500. The yield of the annuity is tied to the performance of that index. Different Indexed Annuities use different Participation Rates, which will limit any loss or payout depending on which you choose.

Variable Annuities

Variable annuities offer investors the chance to higher returns.  These are the only annuities that come with a degree of risk.  Here the annuitant chooses from a menu of sub-accounts containing mutual funds of stocks, bonds and currency market products, with the return dependent on the sub-account’s performance.

Multi-Year Guaranteed Annuities – MYGAs

MYGAs are similar to bank CDs, but with better returns. In 2023 MYGAs offer some of the best annuity rates ever. Your MYGA will earn a fixed rate of return over a specified period of time, generally 3-10 years.  During that time the insurance company has no power to reduce your interest rate, so they are ideal for people looking for income planning over a longer period.  You know exactly what you are going to get. 

Those are the basics!  Your consultation with us will eliminate the guesswork while covering other important considerations when considering your annuity options:

Tax Implications of Annuities

One of the great advantages is that they are tax-deferred in the accumulation phase.  However, they are treated as income in the annuitization phase—when you start to receive payments. Jarvis Financial Inc. will help you plan so the timing of your annuity payments optimally—taking into account Social Security, pensions and other investments— in order to achieve tax-efficiency. 

Riders on Annuity Contracts

Riders are additional, optional elements of an annuity contract offering flexibility and benefits.  These include Income Riders, which give  you advantages of when and how you receive your return; and Health riders, which can be critical for your financial security in retirement. Riders generally mean additional fees, so it is critical that any annuity enhancements are in line with your overall plan.

Annuities can be complex, but that also means that there are many annuity options available to you.  We will help find a product with the  best annuity rate, that will also help protect and guarantee your income in retirement.  Complete the form below and we can get started today!