Fixed Index Annuity

Fixed Index Annuities in ,

As scientific knowledge has advanced, people have started living longer and longer. This is why you need to start preparing for the future today to make sure your retirement years are secure. Fixed index annuities are a solution that works for our clients in .

At REAP Financial, you can find out more about fixed index annuities from our experienced financial professionals. We help people to secure their future in the area.

What Are Fixed Index Annuities?

Annuities are similar to other investments and share the goal of long-term financial security for you and your family. But they have a few unique characteristics.

Before we describe fixed index annuities, let's discuss annuities in general. Basically, there are four types of annuities: fixed, variable, immediate, and fixed index. They all share certain qualities. Annuities are a contract between an individual and a financial institution. The person agrees to make premium payments, which the financial organization will return (with interest) as incremental payments or in a lump sum. All money placed into an annuity is tax-deferred.

So how do fixed index annuities differ from other investment options? Fixed index annuities are tied to a financial index, like Nasdaq of the S&P 500. This annuity is in the middle of the road for risk and offers the possibility for a higher rate of return. Most types of investments pay back the 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

Schedule a consultation today by contacting our office and learn more about fixed index annuities.