Fixed Index Annuity

Austin Fixed Index Annuities

You have many years in front of you, including lots of time after you retire. Now is the time to prepare for the future and improving your future security. A fixed index annuity is one solution that makes sense for many of our clients.

At Reap Financial, you can learn about fixed index annuities from our skilled financial professionals. We help people to secure their future in the Austin area.

What Are Fixed Index Annuities?

Annuities serve the same purpose as all other retirement options; they are designed to provide long-term financial safety for you and your family. But they do have some distinct properties.

First, a little bit about annuities in general. Basically, there are four types of annuities: immediate, fixed, variable, and fixed index. At the base level, they function as a contract between a financial institution and an individual. The person pays a premium that will, at a predetermined date, be returned back to the individual in a lump sum or as incremental payments. All money placed into an annuity is tax-deferred.

So how do fixed index annuities vary from other choices? This annuity is directly linked to a specific financial index, such as Nasdaq. People choose this type of investment because there is the ability to make a greater return than with other options. With some investments, you can expect little more than a return of your premium and a small amount of interest. Fixed index annuities allow you to earn the benefits of a solid interest rate without major stock market risks.

Call Reap Financial to Learn More

If you have any questions about fixed index annuities or want to set up a personalized consultation, please contact our office in Austin.