Retirement Needs Analysis | Things to Consider
Advantages of Annuities

Are you prepared for retirement? Do taxes take a bigger and bigger bite out of your monthly income? What will you be doing during your retirement? Will you be driving a motor home across the country, walking along the beach, teeing off at the golf course or relaxing in your back yard? Whatever your retirement dream may be, the question that you need to answer now is whether or not you will be able to financially fund that dream.

You may have started saving and investing money toward retirement, but have you set a goal? In determining your financial goal for retirement, you need to consider:

Once you have established a financial goal for retirement you need to assess whether or not your current savings and investment plans will enable you to reach that goal.

The financial services professionals at Baucum Financial Services  can help you plan ahead so that your dreams for retirement can become a reality.

Whether you are a recent college graduate who is just starting out in a career, a person who has just been in the workforce for decades or someone currently enjoying retirement, it is important to assess the savings and investment opportunities that are available.

Whatever your current situation is, establishing short-term and long-term financial goals is a significant step toward meeting your future commitments and personal dreams. Reevaluating those goal as your circumstances change is equally important. As the levels of your responsibilities and family obligations change, so may your risk tolerance for investment.

Let us help at Baucum Financial Services  our experienced financial services professionals can help you identify your short-term and long-term goals, determine whether or not your current savings and investment will enable you to meet your goals, and guide you in your savings and investment strategies.

Things to consider:

An annuity is a long-term retirement savings program. Annuities let your money grow tax deferred so that you determine when you want to pay taxes on your money, not the IRS. When you are ready to retire, you can choose to receive:

Other Advantages of Annuities:

Beyond tax advantages, there are important reasons to invest an annuity, especially when you consider the limitations of other types of investments. For example, annuities can provide for…

Guaranteed income. An annuity can provide you with a guaranteed lifetime income, regardless of hoe long you live. No other investment instrument can provide this guarantee.

Unlimited contributions. Unlike other tax-advantage investments, such as IRAs, you can contribute an unlimited amount of money to an annuity during the year, whether in periodic installments or a lump sum. Individual carriers may place a ceiling on the total amount you may put into an annuity without approval.

Bonus rates. Some annuities award investors with bonuses – extra interest that further increases your investment – at the end of your annuity's first year. The bonus increases the annuity's principal on which future interest will be calculated in subsequent years, thus providing a substantial boost to the ultimate value of an annuity fund.

No risk of loss (if you select a "fixed" annuity), unlike other forms of stock or fund investment. Annuities that are invested in mutual funds or are tied to the stock market performance may include minimum guarantees to limit the amount of investment risk.

No-penalty rollovers. Company pension or profit-sharing plan payouts may be reinvested without incurring current taxes or penalties.

No probate in case of death, as long as beneficiaries are specified by you. Which means your family will find it easier and less costly to obtain the value of the annuity.

No initial sales charges("no load") or annual fee, Annuities are generally no-load, no-fee investments, which means more of your money is actually invested than with investments where some money is used to pay an initial or annual charge.

Shelter investment earnings. Retired people can use annuities to shelter investment earnings that would otherwise lead to taxation of Social Security benefits.