Annuities offer decent returns and reliable income streams for those who value security. They may give a specific return for a set number of years, or they might provide guaranteed income indefinitely until the annuity holder’s passing. Like all investments, however, their returns are based on input variables and chosen options. The best way to find out how much you could get during retirement from an annuity is to use a retirement annuity calculator.
Annuities Provide Reliable Income During Retirement
Annuities are popular retirement savings vehicles because they offer reliable income during retirement with little hassle. Unlike the stock market that sees volatile gains and losses, most annuities provide sustainable returns year after year — and many offer a guaranteed return so there’s little or no risk for the account holder. Compared to real estate, annuities involve much less work than renting investment properties does.
Moreover, many people turn to annuities because they can be adapted to suit a wide range of retirement situations. Whether you want a return for a specific number or years or forever, there’s likely an annuity option that meets your needs.
Retirement Annuity Calculators Show Options
The best way to see what an annuity could do for you during retirement is to run a few scenarios through a retirement annuity calculator. A calculator makes it easy to see how different variables affect what you can get from an annuity. For example, you can adjust the:
- Initial string principle
- Annual growth rate
- Desired annual growth rate
- Frequency of withdrawals
- Desired withdrawal amount
Understanding how each of these items impacts an annuity’s returns provides you with invaluable information as you prepare for and navigate retirement years. It’s only after you understand how different factors affect returns and withdrawals that you can set up an annuity (or several) to best meet your needs.
Check Potential Scenarios with a Retirement Annuity Calculator
To explore what annuities could do for you, run a few scenarios through our retirement annuity calculator. Our calculator is easy to use, and you’ll quickly get the information you need to begin making informed retirement planning decisions.