Buying an annuity can guarantee expected income in retirement
After spending years working, you’re closer to retirement and might be thinking about what that means.
Along with the excitement of entering this new phase of life, there are a number of things to consider:
- What will my spending look like?
- Will my money last?
- How will interest rates impact me?
- How will market changes affect my finances?
Do you have a plan in place to take care of these questions? What if there was a way to help you feel confident about your finances in retirement?
Challenges in retirement
It’s well-known that Canadians are living longer. Statistics show retirees now need to plan for as long as 20 to 30 years in retirement1. This makes it important to set up a part of your nest egg in a way that can give you guaranteed income for the rest of your life.
Income annuities – a steady paycheque throughout retirement
Fortunately, there is a way for you to get guaranteed income for life – with an income annuity. Building a part of your retirement nest egg with an income annuity can help you cover most of your basic living expenses in retirement. Then the other part of your money can be invested in funds that have the chance to grow.
Not only are annuities a great way to get a steady income during retirement, there are other reasons that make income annuities even more attractive. They give you excellent value even in low interest rate environments, provide an expected income regardless of whether markets are up or down and can also help with estate transfer.