subject: Augment Life Annuity with Immediate Annuities [print this page] Augment Life Annuity with Immediate Annuities
The concept of retirement that one previously bore was that of apprehension and skepticisms. However that notion has now become a history with the advent of the retirement friendly options generated by the market. The plight of the retired individuals in their advanced years triggered the initiation of the different finance vehicles now doing the rounds of the market. In fact the introduction of these finance vehicles are the key cause behind the retirement phase becoming a time of relaxation rather than tension for the aged retirees. The retired individuals have found the desired haven in the various fund solutions as per their requirements. The annuities are one of them. In fact the lifetime annuity and the immediate annuities have added extra feathers to this particular fund option making it the best available option for the retired individuals.
The annuities in general refer to a pre-retirement investment made by the individual in concern so as to reap the benefits of the same at a later phase when it will be required more. The life annuity and the immediate annuities are different categories that bear the basic benefits of the annuity option with added flexibilities and facilities to cater to the variant requirements of the retired individuals. The primary benefit of this option is to allow financial freedom to the retired individuals. Apart from that it also helps in generating the added income without any type of mortgaging whatsoever. It is the exemplary instance that attests the fact that a stitch in time saves nine.
Money does not grow on trees. Therefore a timely planning is required if the individual is looking for a safe and secure retired life. The life annuity is a good option to cater to the retired individuals seeking lifelong finance coverage. In fact this option is proving to be particularly beneficial and fruitful keeping in view the escalating life expectancy of individuals in general. The advancement made in field of medical science has actually added to the increasing number of years an individual survives. This more often than not leads to the risk and danger of the retired individual outliving his or her financial plans and options. The situation of financial quandary looms large once again and this time with worse effects as the age of the retired individual has advanced even more. The life annuity has resolved that problem as well.
The immediate annuities in fact add a greater flexibility to the ibid mentioned scheme. Generally the annuities refer to a fixed time period of investments post which the generation of income is started. However the individual may be in need of immediate payments. The immediate annuities cater to that need. This scheme delivers lifelong and regular stream of income from insurance company soon after the deal is struck.
Therefore the immediate annuities help the retired individual to enjoy the benefits of life annuity without having to wait for any stipulated time spans, as is normal for annuity in general. The conventional cycles of investment and income involving this fund option is modified in order to cater to the needs of the retired individuals for whom it has been designed.
