Fixed Indexed Annuities in Tennessee: Smart Growth Less Risk

Fixed Indexed Annuities in Tennessee: Smart Growth Less Risk

Fixed Indexed Annuities (FIAs) are an appealing alternative to traditional bank accounts, offering the potential for better interest growth with significantly lower market risk. While FIAs credit interest based on changes to a market index like the S&P 500, they do not directly participate in stock market investments or equities. This means you are protected from market downturns while still benefiting from market-linked growth.

Think of a Fixed Indexed Annuity like a Certificate of Deposit (CD) but with added benefits, including tax-deferred growth and guaranteed lifetime income options. Below is a comparison chart to highlight the differences:

Both Bank CDs and Fixed Indexed Annuities are insured products: Bank CDs by the FDIC and Fixed Indexed Annuities by an insurance company.

Key Benefits of Fixed Indexed Annuities:

1. No Market Losses: Fixed Indexed Annuities never lose money due to market declines, unlike stocks or mutual funds.
2. Premiums Plus Interest: They return your premium plus interest at the end of the annuity term.
3. Tax Deferral: You don’t pay taxes on your annuity’s earnings until you start withdrawing funds.
4. Reduce Your Tax Burden: Withdraw income at retirement, potentially at a lower tax rate.
5. Triple Compounding: Annuities grow not just on your principal but also on your interest and tax savings.
6. Death Benefit: Your beneficiaries receive the full account value upon your death.
7. Access When You Need It: Fixed Indexed Annuities allow penalty-free withdrawals, often up to 10-20% annually.
8. Up-Front Bonus: Many FIAs provide a premium bonus to immediately boost your account value.

Ready to boost your retirement with a Fixed Indexed Annuity? Fixed Indexed Annuities in Tennessee: Smart Growth Less Risk

Contact us today to learn more about how this product can fit your financial goals and provide a secure future for you and your loved ones.