Current Trends and Considerations in Fixed Annuities for Retirement Planning
The article highlights the current trends in fixed annuities, emphasizing declining interest rates. Fixed annuities are long-term retirement investment vehicles that offer principal protection, guaranteed growth, and no market risk, and are suitable for cash, IRA, and Roth accounts. Tax implications include ordinary income taxation upon withdrawal, and early withdrawals before age 59 ½ may incur penalties and surrender charges.