RETIREMENT INCOME (ANNUITIES)
You have plans for the years ahead. Let's talk about how your money could help support them—and whether an annuity belongs in that conversation.
START WITH THE PURPOSE
An annuity is a contract with an insurance company. Depending on its terms, you contribute money and can receive income now or later, for a set period or potentially for life.
It serves a different purpose from life insurance: the conversation centers on your future income, the money you need to keep available, and your long-term plans.
Annuities vary. We can discuss your goals and check which products are available for your state and circumstances.
TWO WAYS TO UNDERSTAND THE OPTIONS
These terms describe different parts of an annuity. They are not four interchangeable products.
INCOME TIMING
Generally funded with a single contribution, with income payments beginning within one year.
Review the payment period, survivor benefits and what access to your original contribution remains.
INCOME TIMING
Designed for income that begins later. Contract value accumulates before payments start or you choose another available withdrawal option.
Match the contract's time horizon to when you expect to need your money.
INTEREST CREDITING
Interest is credited under rates and guarantees stated in the contract. Check how long a stated rate lasts and how renewal rates are determined.
INTEREST CREDITING
Interest credits are linked to an index using a contract formula. Caps, participation rates or other limits may affect credited interest.
You are not buying shares in the index. Review guarantees, charges and withdrawal rules alongside growth potential.
Availability and contract features vary by state and insurer. An advisor can help you review the options available for your needs.
Learn more: NAIC: annuity types · Investor.gov: annuity costs and considerations
THE DETAILS MATTER
CLEAR ANSWERS FIRST
No. Life insurance primarily helps beneficiaries after an insured person's death. Annuities are commonly used for income planning. Some annuity contracts also include death benefits.
No. Lifetime income depends on the payout choice or benefit included in your contract. Ask what is guaranteed, what conditions apply, and whether an optional benefit costs extra.
Access depends on the contract and payout option. Charges, adjustments, taxes or reduced benefits can apply. Review those terms before buying.
Call Direct Life Advisors with your income goals, expected timing and questions. An advisor can discuss availability and the next steps. There is no obligation to purchase.
Talk through your retirement-income goals and the questions that matter before you decide.
