All questions
Can one annuity do growth and income?
Short answer
Yes. Some annuities let your money grow and provide income.
The fair worry
You may have heard you have to choose growth or income. I understand wanting both.
The answer
Some contracts focus on growth, some on income, and some do both.
An added benefit called a rider can pay lifetime income without giving up the whole contract.
That income can often start later. On some contracts, it's an option you may never turn on.
You can also use two separate contracts, one for each job.
The downside
Riders generally cost extra. More focus on income generally means less growth, and the reverse.
At your consultation
Your retirement advisor will put both jobs beside YOUR needs on your free Zoom consultation.
More questions on this topic
- Are the fees high?Fees can be high. What you pay depends on the annuity type and contract.
- I heard the bonus is a gimmick. Is it real?Yes, it's a real credit from the insurer. But it doesn't always add to money you can take out.
- I heard annuities are bad. Are they?Long lock-ups, high fees on some types, and hard selling gave annuities a bad name. Those concerns are fair.