Guarantee your future income.
Retirement is one of life’s biggest and most exciting changes. But when you stop depending on an employer paycheck and start creating your own check, it’s important to make sure your money will last—and that can mean changing how you invest.
Social Security and employer-sponsored retirement plans are 2 sources of guaranteed money that many people depend on in retirement. But there’s a 3rd way to create guaranteed income—annuities. Whether you’re saving for or living in retirement, an annuity can help you prepare for the life you want. It’s a long-term investment that delivers guaranteed income you can count on.
What is an annuity?
An annuity is insurance for your retirement income. It’s a way to turn part of your retirement savings into a steady income stream for life. An annuity can also offer long-term benefits like tax-deferred growth and inflation protection.
What makes an annuity different?
Unlike other investments, an annuity can create guaranteed retirement income that lasts the rest of your life.
- Annuities are the only investment you can purchase that creates a regular pension-like payment in retirement.
- Guaranteed lifetime income means you can’t outlive your money.
- Earnings on your retirement savings can grow tax-deferred until you start taking income.
- Flexible payment options can provide you income when you need it.
- Death benefits help create a legacy for your beneficiaries.
Consider an annuity from Principal®. They can be a smart choice in the years during and leading up to retirement, to help ensure that you don’t outlive your nest egg.
Annuity products and services are offered through Principal Life Insurance Company, a member company of Principal, Des Moines, Iowa 50392.
Guarantees are based on the claims-paying ability of Principal Life Insurance Company.
Withdrawals prior to age 59½ may be subject to a 10% IRS penalty tax.
Tax-qualified retirement arrangements, such as IRAs, SEPs, and SIMPLE-IRAs are tax-deferred. You derive no additional benefit from the tax deferral feature of the annuity. Consequently, an annuity should be used to fund an IRA, or other tax qualified retirement arrangement, to benefit from the annuity’s features other than tax deferral. These features may include guaranteed lifetime income, guaranteed minimum interest rates, and death benefits without surrender charges.