Since very few boomers have pensions, CFP Shannon Ryan recommended annuity products for conservative boomers who’d like a “guarantee” of an income they cannot outlive. An annuity is an investment vehicle sold through an insurance company and one of the few investments that guarantees returns.
“Annuities are more expensive than many investments and do typically have a surrender fee schedule in the first 10 years,” said Ryan. “But when used appropriately in a balanced portfolio, they can add some confidence to the stability of income.”
Annuity costs vary depending on their structure, requiring careful review. In choosing an annuity, financial advisor Shannon McLay of Financial Gym said the primary feature that you should look at when determining the best annuity for them is the guaranteed component. “As long as the guaranteed payment is a number that would meaningfully contribute to [your] other regular retirement income, then it will work in [your] overall retirement strategy,” she said.
As Benjamin Franklin so famously put it, “nothing is certain but death and taxes.” Don’t…
What is one thing you can be count on as an American citizen? Taxes, that’s…
Has COVID-19 ruined your holiday travel plans? You’re not the only one. Unsurprisingly, 2020 does…
During typical years, we spend more time indoors during winter. 2020 has been anything but…
Nowadays, DIY-ing has become so accessible that everybody’s got some skills. Whether you’re into it…
What does it actually take to keep your home and all your possessions clean? Oh,…