Want Steady Income In Retirement? 5 Questions To Ask Before Buying An Annuity

Forbes - Annuities get a bad rap—and sometimes rightfully so. If you buy the wrong one, you may end up paying high fees and getting locked into a deal that doesn’t make sense for you.

Texas Tech Retirement Income Summary, 2016

Deferred Fixed Annuities are contracts sold by life insurance companies and are considered long-term investments that may be suitable for retirement.

Withdrawals from annuities may be subject to ordinary income tax, a 10% IRS early withdrawal penalty if taken before age 59½, and contractual withdrawal charges.

Dividends are not guaranteed.

All guarantees associated with annuities & income plans are backed solely by the claims-paying ability of the issuer.

Income annuities have no cash value. Typically, once issued, this annuity cannot be terminated (surrendered), and the premium paid for the annuity is not refundable and cannot be withdrawn.

Read the story here.