With an Annuity, you can receive a steady income for life.

At this stage in your life, you probably want to avoid uncertainty. That's why annuities have become so popular for retirement-minded people. They represent a safe and secure way to guarantee income for as long as you live. Many people are buying annuities because they like the peace of mind of a retirement safety net.

An annuity is an insurance contract that can provide a steady stream of retirement income. You make a premium payment or payments into the annuity and, in return, you can receive income for life.

Annuities are unique products in that they have two distinct stages: The accumulation period, during which you pay money into the contract, and the payout period, when you receive your payments either in one lump sum or periodically.

Annuities offer competitive rates of return that typically beat CD and money market rates. They also have the advantage of “compounding interest”, since all taxes are deferred until withdrawals are made.

In addition, annuities typically allow you to access some of your account for emergencies. In fact, annuities are often referred to as the opposite of life insurance; while life insurance pays your beneficiary upon your death, annuities pay you while you're living.