Prepare for Retirement with an Annuity Plan
When you think about your retirement, do you envision opportunities to do the things you love, like traveling, spending time with family, or learning a new hobby?
To make the best of your golden years, it’s important to start saving early. Even with government and state-sponsored retirement systems, you may need to consider personal retirement options as well..
That’s where annuities, or retirement savings plans, can help.
Here's how it works:
Types of Retirement Savings Plans
403(b) and 457(b) Plans
These Plans are the most common retirement options offered by school districts. They allow you to contribute money through pre-tax contributions via payroll deduction, and allow for your employer to contribute as well..
This plan allows you to accumulate interest on your contributions. The principal and interest on fixed contracts are guaranteed, so you will receive at least the minimum amount of payment, as long as the contract is in force.
Individual Retirement Accounts (IRAs)
Unlike 403(b) and 457(b) Plans, IRAs and Roth IRAs can be opened and funded without your employer’s involvement. The main difference between the two types is that the tax benefit occurs when you put money into an IRA and when you take money out of a Roth IRA.
This plan allows the potential for greater returns on investment over the long term by allowing you to invest your contributions in various market-based portfolios. Principal, interest, and market gains are not guaranteed, so this plan may not be suitable for everyone.