Is it right for you?

Retirement Annuity

A retirement annuity can come in many different “flavors.” In fact, there are several things to consider when deciding whether or not an annuity is right for you. For one thing, we recommend you take an assessment of where you are now in your retirement journey. How much do you have in total savings, for example? Fixed index annuities (FIAs) can be a great choice for some retirees who are looking for a way to protect their savings. But, it’s important to make sure you have some cash still liquid and available. In addition, certain annuities can also provide a reasonable rate of return* to their policy owners. Knowing your risk tolerance and comfort level is important.

Also, be sure to determine your specific income needs. If an annuity will be providing your monthly income, be sure it is enough to cover living expenses. In addition, you should know what other financial goals you have in retirement. Make sure your plan also includes the possibility of increases in expenses or other long-term goals that require cash. One reason to choose an FIA: your initial balance is safe from market volatility. No matter what happens in the market, your principal stays put. Additionally, people choose an FIA because they like to have a reasonable rate of return and keep things simple.

What are your retirement annuity options?

If you want to learn your annuity options, you should seek an education about how annuities work. Especially when it comes to FIAs, there are several benefits available. However, not all retirement plan will include this type of product, so it is important to learn more. An FIA has many different details and available benefits, depending upon which policy you choose. For example, you may be able to have a lifetime income with optional income rider. In this case, your income may increase as your expenses increase. In addition, FIAs have various options for your beneficiaries and more. Attend one of our Retirement Strategy seminars or online sessions to learn more about all the choices available to you.

mid age woman smiling after getting a retirement annuity
Benefits of an FIA

An FIA is an agreement or contract between you (the policyholder) and an insurance company. Your money goes in, and the insurance company agrees to keep it safe from market loss. You have choices as to when you can begin taking out your income payments. Some people choose a shorter term; others choose to leave their money in for the long-haul and let the annuity grow. In effect, your goals and situation will dictate which strategies are right for you. In all cases, an FIA’s goal is to protect your principal while offering a reasonable rate of return. When the market is up, you may earn an interest rate. But, when the market is down, you don’t loose your money. To many retirees, this benefit is of high value.

Stock Market Investing & Annuities

If your traditional retirement investments drop in value, so does your retirement nest egg. However, with an FIA, this doesn’t happen. Instead, your FIA principal remains stable, no matter what happens in the market. This is because your money isn’t directly invested. Instead, the insurance company links your account with an index. When that index is up, you may see an increase in your rate of return. If the index is down, however, you don’t lose. In fact, the insurance company providing the annuity is the one who takes the risk. At Green Line NW, our first priority is to help you protect what you worked so hard for. By using FIAs, some of our clients have done just that.

How About a Lifetime Income?

Of course, lots of investments have risk. Some carry higher risk than others do. But, with an FIA, you can get an income payment every month (or year) for the rest of your life. This payment is not affected by the market and you do not hold the risk of losing in the stock market. Since more and more people are living well, life expectancy is on the rise. Now, people can reasonably expect to live into their 90’s or even past 100. Knowing this, we believe you need a plan that ensures a lifetime income. An FIA could be an option worth looking into, especially if you want the safety it provides for your money. Income for your entire life is the basic need in retirement. Indeed, FIA’s may be able to provide the options you’re looking for to address this need.

Interest Rates & Income

How much you make in earnings with an annuity will vary, based on several factors. First, each insurance company offers different benefits, products, rates, and more. Depending on which one you choose, it may have different terms and conditions associated with it. Also, rates of each product change as the industry changes. At Green Line NW, our insurance partners have top-notch rankings. We look for excellent reputations and quality financial options for our clients. If you choose a low-risk product, such as a fixed annuity, you may see a lower interest rate than you would with an FIA. But, some people prefer knowing what their rate will be. We encourage you to call us to discuss the current choices you may have.


The stock market (red) is regularly changing, it’s never the same. It’s always going up and down, but that’s just its nature. But, the right kind of annuity (green) can be considerably more consistent. There is solid growth and no loss. With the correct type of annuity, you can preserve your funds, knowing they will continuously be there for you when you require them most. Slow and steady wins the race when it comes to the “green line” of an annuity.

WE love helping people

When you’re ready for that next step, we’re here. Come learn about tax-free or tax-deferred income options, protection of principal and more. Join us at a seminar or call us to schedule your appointment today. Let’s work together to achieve a comfortable and secure retirement future for you.

*Reasonable rate of return over time.

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