Monday, April 17th, 2017 and is filed under Annuity News, Financial Planning Tips, Retirement Income Annuities
In our series on retirement annuities, we have previously covered the four types of annuities, fixed index annuity basics, principal protection, and one of the types of annuity crediting methods – the point to point annuity crediting method. In this article, we will discuss another crediting method called monthly point to point, which is also known as monthly sum crediting. Read More
Wednesday, April 5th, 2017 and is filed under Annuity News, Retirement Income Annuities
A question we hear quite often is, “How does a fixed index annuity make money?” That’s a great question because there are a lot of options available when it comes to how your Fixed Index Annuity will earn money. These options are called crediting methods.
In this article, we will focus our attention on the Point to Point crediting method for fixed index annuities. In upcoming posts, we will discuss the monthly sum and the monthly average crediting methods. Read More
Monday, December 26th, 2016 and is filed under Annuity News, Financial Planning Tips, Retirement Income Annuities
Annuities are popular retirement planning vehicles where a large principal payment is held with an insurance company in exchange for regular sums paid out over a predetermined period of time. With their focus on steady income generation, fixed annuities can be a very valuable component to a retirement portfolio. A fixed index annuity is a twist on this traditional style; in addition to earning a baseline fixed interest rate over a fixed term with principal guarantees, alternative also includes a market-based growth component to annuity earnings. Thus, along with the base contract rate agreed upon in an annuity contract, these insurance products can also earn extra value when the market performs well. By tracking indices like the S&P 500, a fixed index annuity can provide more earning potential when times are good, and will earn the minimum guaranteed rate––without risking principal––should market downturns occur. Read More
Thursday, June 19th, 2014 and is filed under Retirement Income Annuities, Safe Money Talk Radio Podcasts, Videos
The annuity cap can be a bit confusing. Is it annually? Is it monthly? How does it work?