“Defined contribution plans like 401(k) accounts are great at helping employees save for retirement, but they provide no guarantee of income as pensions do,” notes the author of today’s article. While private sector pension plans have largely disappeared, the author highlights a pension-style retirement product that offers guaranteed lifetime income, but which only recently has entered the mainstream of retirement planning: longevity income annuities (LIAs). How do LIAs work? Who are they best suited for? What should one look at when considering LIA plans? CLICK HERE to read more.
“Retirement planning has changed a lot over the last few decades. And perhaps one of the most dramatic changes is the slow and steady death of employer-provided pensions.” Today’s article examines how “for those who don’t have the backstop of a traditional defined-benefit pension plan…annuities could be an attractive way to re-create the kind of guaranteed retirement income most Americans enjoyed in decades past.” But when it comes to immediate versus deferred, and fixed versus variable, what are their respective risks and which is best for who? And what exactly are the relatively new equity-indexed annuities? CLICK HERE to read more.