Fixed annuities offer you a lot of benefit. When planning for your retirement, this is one of the things that you must consider. Fixed annuity is good for securing your future. When you are young, you are active and strong capable of raising a lot of income but after retirement, old age limits you and you realize that you can’t do much. It is therefore important to make plans early for the old age so that you do not have stress during your old years. A fixed annuity enables you to live comfortably in your old age and to enjoy your old age because you are assured of a stream of income.

If you need the best source of income during your old age then fixed annuities are there for you. Most people in their old age depend on this type of investment as they receive the fixed annuity income for a certain period or for the rest of their lives. They protect one from the downside risks normally experienced in the stock market. The sums that you receive with fixed annuities are significant to the extent that you cannot outlive. They are a safer type of investment because insurance companies normally back them with assets. The smart investors know that this type of annuity has is stable and has a long-term guarantee. If you want the best investment, then try combining growth investments and fixed annuities

Fixed annuity is tax deferred. Secondly, they give you competitive current interest rate, thirdly they are safe, and lastly they offer you with a retirement benefit that you cannot outlive. By taxed deferred we mean that if you invest in them you are not going to undergo the pains of paying tax until you withdraw all of them or until the time, you start receiving the income.

Fixed annuity is even better than the Banks Certificate of Deposits. They are better than Bonds, mutual funds and stocks. Certificate of Deposits have a shorter accumulation period but fixed annuities offers a long range and some have no limit to the accumulation period.  It is beneficial to you because it is flexible as you can decide to let the assets to continue accumulating.

Fixed annuity has a minimum interest rate guarantee. For retirement purposes, fixed annuities are the best. In America, the people are living longer and longer. The population of people who are retiring keeps on increasing day by day and fixed annuities assures them a better life. For most people, the retirement income is not enough but the fixed annuity has brought a solution to this issue. It provides the people who are retiring with an income stream that they can outlive and it is advantageous in the sense that it can be converted into a guaranteed income for life. There is a minimum rate specified rate of interest that you are guaranteed with fixed annuities.