What is a fixed index annuity?

A fixed index annuity links returns to a stock market index (like the S&P 500) but protects your principal from losses. You get a portion of market gains (subject to caps and participation rates) but never lose money in down years. They're complex products with varying fees and features that should be carefully evaluated. Guarantees are subject to the claims-paying ability of the issuing insurance company.

Are annuities a good investment?

Annuities aren't investments — they're insurance products designed to provide guaranteed income. They can be appropriate if you need income protection and don't have a pension, but they often come with high fees, limited liquidity, and surrender charges. The key is determining if the guaranteed income feature is worth the trade-offs for your specific situation.

What fees do annuities have?

Annuity fees vary widely. Variable annuities typically charge 2-3% annually (mortality and expense charges, investment fees, rider fees). Fixed and fixed index annuities may have lower annual fees but often include surrender charges (penalties for early withdrawal) that can last 5-10 years. We help you understand the total cost structure before you commit.

Can I get out of an annuity?

Yes, but it may be expensive. Most annuities have surrender charges that decrease over time (often 5-10 years). You may also owe taxes and IRS penalties if you're under 59½. We review your existing annuity to determine if it makes sense to exit, stay in, or modify it through available options like 1035 exchanges.

When does an annuity make sense?

Annuities can make sense if you need guaranteed lifetime income and don't have a pension, want to transfer longevity risk to an insurance company, or need a simple income solution in retirement. They typically DON'T make sense if you need liquidity, have low risk tolerance but high fees, or already have sufficient guaranteed income from Social Security and pensions. Every situation is different — we analyze yours specifically.

What's the difference between immediate and deferred annuities?

An immediate annuity (SPIA) starts paying income within a year of purchase — you trade a lump sum for guaranteed lifetime payments. A deferred annuity (including DIAs) delays income to a future date, allowing the principal to grow tax-deferred. Immediate annuities work well for those who need income now, while deferred annuities are better for those planning income needs 5-10+ years out.

Should I buy an annuity inside my IRA?

Usually no. IRAs already have tax-deferred growth, so adding an annuity inside an IRA duplicates that benefit while adding fees and restrictions. The main reason to use an annuity in an IRA is for the guaranteed income feature, not tax deferral. If you don't need guaranteed income, a diversified portfolio inside the IRA is typically more cost-effective and flexible.

ANNUITY PLANNING

Annuity Planning for Retirement Income

Most advisors either love annuities or hate them. We take a different approach: we tell you the truth about whether an annuity fits YOUR situation — no product pitch, no hidden agenda, just honest fiduciary advice.

GET HONEST ANALYSIS →

Annuity planning and retirement income strategies

"An annuity can be the best or worst decision you make. The difference is whether you have a fiduciary guiding you."

— Mike Stevens, IAR

Analysis

Product-neutral fiduciary review

Types Reviewed

Fixed, FIA, SPIA, DIA, Variable

Fee Analysis

Included

Comparison

Annuity vs. alternatives

Cost

Included

THE PROBLEM

Does This Sound Familiar?

You've been pitched annuities but don't know if you need one

An insurance agent promised guaranteed income and zero market risk. It sounds great — but is it really the right fit for your retirement plan?

You're confused by the terms and fees

Fixed, variable, indexed, immediate, deferred — the jargon is overwhelming. And what about surrender charges, riders, caps, and participation rates?

You're worried about high commissions driving recommendations

Annuities can pay 6-8% commissions to the agent who sells them. How do you know if the recommendation is in your best interest or theirs?

You don't know if you're stuck in a bad annuity

You bought an annuity years ago and now you're second-guessing it. High fees? Long surrender period? Should you get out or stay in?

THE SOLUTION

Fiduciary Annuity Analysis

We Tell You the Truth

As fiduciaries, we have a legal obligation to put your interests first. That means we analyze whether an annuity makes sense for YOUR situation — not whether it generates a commission for us.

We'll review your income needs, risk tolerance, tax situation, and other retirement assets to determine if an annuity is appropriate. Sometimes the answer is yes. Sometimes it's no. Either way, you'll get an honest recommendation backed by analysis.

5 Types Fixed, Fixed Index, Variable, Immediate (SPIA), Deferred Income (DIA)

Our Annuity Analysis Includes:

Review of annuity product features, fees, and surrender schedules
Comparison of annuity income vs. systematic withdrawals
Analysis of whether you need guaranteed income protection
Evaluation of existing annuities you already own
Tax impact analysis (qualified vs. non-qualified annuities)
Assessment of surrender charges and exit strategies
Coordination with Social Security and pension income
Honest assessment of when annuities DON'T make sense

How it Works

It's just three steps

BECOME A CLIENT

Step 1) Understand Your Needs ▾

Review your retirement income sources, risk tolerance, and goals to determine if guaranteed income is necessary.

Step 2) Analyze the Options ▾

Compare annuity features, fees, and income projections against alternative strategies like bond ladders or systematic withdrawals.

Step 3) Make a Recommendation ▾

Provide a clear yes or no on whether an annuity fits your plan, with detailed reasoning and next steps.

COMMON QUESTIONS

Annuity FAQ

Get straight answers about annuities from a fiduciary advisor.

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