Fixed Index Annuity

Austin, Tx Fixed Index Annuities

You have a long life in front of you, including lots of time after retirement. Now is the time to prepare for the future and improving your financial outlook. One option that can help accomplish this is a fixed index annuity.

Talk to the financial professionals at REAP Financial to learn more about fixed index annuities. We help people with securing their future in the Austin.

What Are Fixed Index Annuities?

There are differences, both large and small, between fixed index annuities, life insurance, IRAs, and other types of investments. But in the end, they all have the same goal: to ensure your financial security.

First, a little about the basics of annuities. The four basic forms of annuities are variable, immediate, fixed, and fixed index annuity. All of them share certain traits. Annuities operate as a contract between a financial institution and an individual. The person pays a premium that will, at a predetermined time, be returned back to the individual as incremental payments or as a lump sum. All money placed into an annuity is tax-deferred.

So what are a few of the differences with fixed index annuities? This annuity is directly tied to a specific financial index, such as Nasdaq of the S&P 500. People choose this type of annuity because there is the possibility for a higher rate of return. Many investments offer little more than a return of what you have paid and a little interest. Fixed index annuities allow you to earn the benefits of a higher, market-linked interest rate with minimized exposure to major stock market risks.

Contact REAP Financial to Find Out More

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