CDs versus Annuities

Learn about the CD alternative that your banker or stock broker may not have discussed with you!

In order to assure a safe and secure retirement, money set aside for retirement must be protected. With the guarantees offered by annuities, there may be no better savings vehicle to assure that safety. With an annuity, you can never lose any principle as long as you stay in the contract for the agreed time.
Please read this educational material and learn about the government afforded advantages of tax-deferred annuities.

Section #1 – Why Should I Consider an Annuity?

Consumers, who look to CDs or Bonds for competitive interest rates over a fixed period of time, should consider annuities with rate guarantees.
Tax-deferred annuities are SPECIAL!
Under the IRS code, ANNUITIES are afforded certain privileges not given to other types of investments!

Annuities are corporate obligations of an insurance company and as such, the policy owner is guaranteed a return of principal and interest as long as the annuity is held for an agreed upon period of time, usually between 3 to 10 years.
When you place your savings in a tax-deferred annuity, the United States Government, in an effort to give each and every one of us an opportunity to fund our own retirement, allows our money to grow tax-deferred until we need to draw this money in our retirement years.
Tax-deferred growth is one of the chief reasons why millions of people around the world are attracted to annuities. Since taxation is deferred until you begin taking income from your annuity, annuity owners do not pay federal, or state tax while the annuity is growing. Not only is tax deferral significant in itself, but annuity owners may stop or reduce the taxation of their social security benefits.

Here is the underlying principle driving millions of people to purchase Tax-Deferred Annuities.

You will get triple compounding!

  • Earn interest on your money $
  • Earn interest on your interest $$
  • Earn interest on the money you would have lost to taxes $$$

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