Fixed Annuities
Safe, guaranteed growth and steady retirement income without stock market risk.
A fixed annuity provides a guaranteed rate of return on your contributions, backed by the insurance company's ability to pay. Unlike variable annuities — which fluctuate with market investments — fixed annuities give you certainty. I don't sell variable annuities.
Insurance companies survived the Great Depression when Wall Street didn't. In 2008, diversified insurers fared best. Fixed annuities offer a level of stability that few financial products can match for retirement income.
How Fixed Annuities Work
Two distinct phases: your money grows tax-deferred during accumulation, then converts to predictable income when you're ready.
Accumulation Phase
Your money grows tax-deferred at a guaranteed fixed rate until you're ready to receive income. You can contribute a lump sum or periodic premiums depending on the contract.
The insurance company guarantees your interest rate for the agreed period — no volatility, no guessing what your balance will be.
Distribution Phase
When it's time for payouts, your income is based on your account value, your age, and the payout period you select. Options include:
- A set number of years
- Income for the rest of your life
- Joint life payouts covering a spouse
- Lump-sum distribution
Key Benefits of Fixed Annuities
Guaranteed Rate
Your interest rate is fixed by contract. You know exactly what your money will earn over the accumulation period — no market dependency.
Tax-Deferred Growth
Earnings accumulate without annual taxation. You only owe taxes when you take distributions — potentially at a lower rate in retirement.
Predictable Income
Convert your accumulation into a reliable income stream. Choose the duration — set years, lifetime, or joint-life — to match your retirement plan.
Safer Than Bonds
Unlike bonds, fixed annuities don't fluctuate with interest rate changes. And the annuitization feature converts your savings to lifetime income — bonds can't do that.
Carrier-Backed Security
Backed by the financial strength of the issuing insurance company — not subject to stock market volatility. Carrier rating and longevity matter.
IRA & Rollover Compatible
Fund with qualified plan money such as an IRA rollover. Distributions will be taxable as income — plan with your advisor for the most tax-efficient approach.
Who Should Consider a Fixed Annuity?
When choosing a fixed annuity, I look at the insurer's ability to pay, their longevity, their financial rating, their performance during 2008, and their guaranteed rate. As an independent agent, I compare options across multiple top-rated carriers to find the right fit for your retirement goals.
Other ways I can help
Whole Life Insurance
Lifetime coverage that builds cash value. Premiums stay the same.
Learn moreTerm Life Insurance
Affordable protection for 10–30 years for your family.
Learn moreLong-Term Care
Helps pay for home care, assisted living, or nursing facilities.
Learn moreFixed Indexed Annuities
Market-linked growth with downside protection.
Learn moreFinal Expense
Covers funeral and final costs for your loved ones.
Learn moreLet's have a conversation.
No pressure. No obligation. No jargon. Just an honest conversation about what makes sense for your situation.
You'll speak directly with Tom — not a call center, not a chatbot.