1. Investing in Annuities a Little at a
Time

2. When planning for retirement,
it’s tough to know exactly how
much of an annuities nest egg
you’ll need in order to create
the guaranteed income stream to support your
desired lifestyle once you reach your golden
years.

3. The good news is you don’t have to decide. Now
you can buy an annuity in
stages as opposed to one
lump sum – a little here
and there versus a lot now.
In essence, an annuity is a
contract with an insurance
company.

4. In exchange for making a payment now, you are
assured that the insurance company will provide
you with a stream of income in the future. That
stream of income could last for life. Depending
on the annuity, it could even go to your
beneficiaries after your death.

5. Many investors believe an annuity
must be purchased in a lump
sum.

6. It is true that an annuity can be
purchased in a lump sum, but it
can also be purchased in a
series of installments. Investing
in an annuity in this way – a
little at a time – means you don’t have to hand over
a huge chunk of cash at once. It also eliminates the
need for investing all your money when interest
rates (and thus payout amounts) are low, which may
be the case in today’s market, thanks to the
quantitative easing by the U.S. Federal Reserve
Board.

7. Whether you’re making a lump-sum payment or
a series of payments, it’s important to choose
the highest-quality insurance company – one
with high ratings from Standard & Poor’s and
A.M. Best Company.

8. Ask your advisor to help you to make this
important decision.

9. Randy Bett
www.BetterGroupRealEstate.ca