Seeking Secure Retirement Income? An Annuity Could Be a Good Fit
If you're worried about outliving your savings (and who isn't?), a lifetime of guaranteed payments could ease your mind.


Locking down a solid retirement income plan in today’s volatile investment market can be challenging.
Some caveats to consider
When thinking about purchasing an annuity, you must take a few things into consideration. For one thing, you must realize that annuities are not FDIC insured. In addition, the quality, costs, coverage and terms of annuities vary by insurance company. So here are a few areas to focus on:
- The ratings of the insurance carriers
- Annual fees
- Length and ammount of surrender charges
- Death benefit
- Choices of payout options
Final thoughts
When you’re thinking about using annuities for income, keep in mind how to best integrate them with your other resources. A great strategy is to determine how much money you’ll need in retirement, purchase one of these products to be sure you have enough, and leave the rest of your money invested to grow.
From just $107.88 $24.99 for Kiplinger Personal Finance
Be a smarter, better informed investor.

Sign up for Kiplinger’s Free Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
If the market cooperates, your net worth will continue to increase while you’re retired. And if it doesn’t, you’ll know your annuity, combined with Social Security, will continue to provide steady and reliable income.
Talk to a financial professional about whether this is a good time to buy the type of annuity you’re interested in, but don’t put it off for too long. I recommend buying within at least five years of your planned retirement age.
The guaranteed lifetime income for all parties to an annuity contract should give you the financial confidence that you will have adequate income to ensure a successful retirement.
Kim Franke-Folstad contributed to this article.
Profit and prosper with the best of Kiplinger's advice on investing, taxes, retirement, personal finance and much more. Delivered daily. Enter your email in the box and click Sign Me Up.

Carl W. Zeidler is the founder of Wall Street Financial Group Inc. and the director of financial planning and investment services. He is an insurance professional and an Investment Adviser Representative through Wall Street Financial Group. Wall Street Financial Group is a Registered Investment Adviser in Illinois, Missouri and Tennessee.
-
What Dave Ramsey and Caleb Hammer Taught Me About Handling Money
From Ramsey’s strict discipline to Hammer’s blunt reality checks, their lessons reveal how to save, invest and prepare for the future.
-
Dismal August Jobs Report Offers Rate-Cut Relief: What the Experts Are Saying
The August jobs report came in much lower than expected, lifting the odds that several rate cuts will come through by year's end.
-
Greed, Fear and Market Volatility: A Financial Adviser's Guide to Keeping Emotions Out of Investment Decisions
Don't panic! And don't be so confident in the stock market that you overlook risk. Instead, be logical. Your retirement security could depend on it.
-
Want a Financial Adviser Who Shares Your Faith? Look for One With a CKA Designation
Financial professionals with a Certified Kingdom Advisor certification are committed to integrating biblical principles with sound financial advice.
-
10 Ways to Stay Safe From Grandparent Scams and Other Fraud, Courtesy of a Financial Planner
Scams are increasingly hard to detect, and anyone can be fooled, from older people to educated professionals. Here are 10 ways to avoid becoming a victim.
-
This Is How the Student Loan Bubble Is Primed to Pop, From a Student Funding Expert
Fueled by easy money, inflated tuition and high default rates, the student loan bubble mirrors the 2008 subprime mortgage crisis. We could be headed for a potential financial collapse. What can we do?
-
More Than Money: The Hidden Toll of Financial Abuse of Older Adults
Financial abuse from schemes involving tech support, government impostors, false sweepstakes, grandchild hoaxes and online shopping issues can cause thousands of dollars in losses.
-
I'm a Financial Planner: Here Are Three High-Impact Ways to Make a Difference With Your Dollars
The world often feels out of control, but here are three ways to use your money — through investments, charitable giving and political donations — to help create a more just and sustainable future.
-
The Unsung Hero of Aisle 5: A Tale of Forgotten Change and Compassion at the Supermarket
This supermarket manager went above and beyond to help when a child forgot her change at the checkout counter. You might be surprised at some of the complications that supermarkets face when it comes to customers' forgotten change.
-
Train, Integrate, Retain: A Strategic Playbook for Adviser Onboardings
Build a thriving practice by training new advisers with clear goals, structured processes and consistent mentorship for strong team growth.