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Annuities 101

July 31, 2023

ANNUITIES 101

Are Annuities A Good Investment?

Many people are confused about annuities. In fact, according to a recent Retirement survey, only 25% of consumers scored a passing grade (70%) on an annuity knowledge questionnaire.

With all of this confusion surrounding annuities, it can be hard to determine if they are a good investment and deserve a place in your retirement account. Natural State Advisors truly are the experts in makeing the entire process very simple.


An annuity contract provides long-term guaranteed retirement income. Its main goal is to help you address the risk of outliving your savings.

Most people don't understand this key feature: They can provide you with the funds to retire comfortably. Because of the guaranteed income feature, these products can be an integral part of your retirement planning. So, what do you need to know about annuities to decide if these personal financial products are a good investment for your retirement?

And how do they compare to other investment options, like the stock market, bonds, CDs, and mutual funds? We’ve got your answers.


I will cover with you quickly what annuities are, their pros and cons. Once you have a solid understanding of what annuities are—and what they are not—you’ll understand that they (an annuity) deserve a place in your retirement planning journey if safety is your main concern.


Annuities are personal finance products issued by insurance companies. You provide the funds to the insurer now (either in a lump sum or through monthly payments), the money gains interest, and you receive payouts as dictated by your contract.

Unlike 401k's or non-annuity IRAs, annuities can give you a fixed stream of income that can last the rest of your life.

This is why annuities can be a good choice for retirement.



Annuities offer a unique way to grow your retirement savings and provide retirement income.

They are becoming more and more popular because of this fact.

But as you evaluate whether or not an annuity is a good investment option for you, you must also be aware of its disadvantages.

The Pros of an Annuity

  • Multiple interest rate options depending on your risk tolerance (fixed, fixed indexed, and variable annuities)
  • Generally, less volatile than stocks
  • Available to help retirees accumulate money or distribute money in retirement
  • Some companies, like Natural State Advisors offer a simple annuity product with an easy, online application process.
  • They allow you to conduct the entire transaction online without going through an insurance agent
  • Can provide guaranteed income for life

·        Deferred Annuities vs Immediate Annuities

·        For those who do not currently need income, there are deferred annuities. A deferred anuity contract  just means that you are biding your                      time taking  advantage of competitive interest rates, and letting your money grow TAX FREE- until you need payouts.

·        This is known as the accumulation phase. When it's time to receive your payouts (usually in retirement), it's known as the annuitization phase.

·        For those who need a guaranteed source of retirement income right now, there are immediate annuities.

         There are zero broker fees, no upfront cost, if you deposit a dollar you have a dollar in your account, and zero fees or broker fees ever!

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Take the Stress Out of Your Retirement Planning

By Kyle Looney • March 28, 2022
Before COVID, I and many others, discussed that a major Economic "RESET" would slowly start costing investors large margin loss in 2021 through 2022, and that loss would increase greatly in 2023. It is very simple to understand: The political policy(s) that have created these events in the stock market will not change at least until 2025. Why then, would any investor consider the stock market or Bank CD's a safe place for their retirement funds? So you might ask: "Well what do you know anyway?" I would kindly say "I known enough to provide you this free information that will save your retirement planning from complete devastation." I have shared this strategy with family, close friends, VIP clients, and thousands that have read my information, for over 40 years. "Accounts like these have been used by individuals and families for over 100 years to build without risk and then pass on fortunes in a legally tax-free environment" Benjamin Franklin had an account like this, do did Babe Ruth, Cleveland, McKinley, Harding, and FDR (FDR, in fact, held a large portion of his estate in this type of plan) I’m not here to scare you. The self-destructive market is already scaring you I know. I am truly concerned about millions of Americans losing their hard earned retirement and savings when they do NOT have to. This is all about providing you free information that your broker can't discuss without fear of losing you as a client. I say that not mean spirited at all, it is just a fact. This is all about sharing the correct information! I urge you to get off the losing track as fast as possible. Please understand that the financial planning you're following right now was developed in the the late 1970's. It is NOT tax efficient now, while you are building your retirement, or later when you start your retirement income. I am sure you agree with me that a lot of tax laws have changed since the late 70's when "401 K's" were created. BOTTOM LINE: "It is NOW time to put real stability in your retirement savings." 1. A plan that doesn’t depend on who’s in office and what their economic polices cause. 2. A plan that ensures all your cash is there when you’re going to need it. 3. A plan that is Tax savvy now and later. 4. A plan that is Liquid if and when you need it for life! My free information will provide you the information that you can act on and regain control of your wealth.
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