Annuities

Protecting Your Nest Egg with Annuities

What are your income options for retirement? 

No matter their age, people will always need money to support both their basic needs and their aspirations. But many Americans do not have enough money saved for a comfortable retirement. And it’s not always because people are careless—the lengthy period of poor wage growth and the increase in the price of necessities like food and housing make it even harder to save more money for retirement. Pensions are mostly extinct, and Social Security may be changing. However, some Americans believe their Social Security income will be enough to cover their expenses (and lifestyle) in retirement. However, studies show many working Americans today plan to continue to work in some capacity during retirement years to live comfortably.

Average Monthly Income Compared to Household Expenses Chart

A retired American would hardly be able to satisfy their basic needs if they received money from all three sources—social security, private, and state or federal pensions.  The reality is, over time, your ability to buy necessities and support your standard of living may deteriorate. Retiring comfortably in the United States can be difficult unless you plan ahead and review your financial plan as your lifestyle changes.   

Let’s discuss annuities.

An annuity is a contract where you agree to make a single payment or a series of payments in exchange for a stream of income. Depending upon the product you choose, the annuity will start paying you on a regular basis immediately or in the future. In addition to providing tax-deferred earnings growth, an annuity can also provide a death benefit that will give your beneficiary a minimum payment that is guaranteed.

  • A Single Premium Deferred Annuity (SPDA) provides a guaranteed interest rate period of five or seven years to save for retirement, and a variety of payout options. +
  • A Flexible Premium Retirement Annuity (FPRA) offers flexible premium payments, guaranteed income options, and a variety of payout options. When the annuity owner dies, benefits are paid directly to the beneficiary. +
  • A Single Premium Immediate Annuity (SPIA): With a single premium payment, a single premium annuity provides an income stream almost immediately, with a variety of payout options. +

Protect what you can't afford to lose, such as survivor needs or lost income.

Baltimore Life's annuities can help you meet your retirement income need and help you manage the financial effects of misfortune such as a sudden death, disability or other life circumstances. Good planning helps—you may not be able to avoid risks, but we can help you manage them.

Get in touch with us right now to learn if an annuity is the right choice for you. Lock in your fixed rate now to protect your retirement nest egg from unpredictable market fluctuations.


* Product descriptions are not a contract, and policy provisions are only partially described. Policies and riders are not available in every state. Complete terms and conditions can be found in the individual policies mentioned.    
1 Social Security Administration. 2023, June. Monthly Statistical Snapshot Table 2 - Social Security benefits. Retrieved July 12, 2023, from https://www.ssa.gov/policy/docs/quickfacts/stat_snapshot/#table2/.  
2 Brock, T. J. (2023, June 16). Average Retirement Income: What Is a Good Income for Retirees? Annuity.org. Retrieved July 12, 2023, from https://www.annuity.org/retirement/planning/average-retirement-income/.
3 The Ascent Research. Updated Nov. 21, 2022. American Households' Average Monthly Expenses: $5,577. The Motley Fool Research Service. Retrieved July 12, 2023, from https://www.fool.com/the-ascent/research/average-monthly-expenses/