MEDFORD, OR--(Marketwired - April 05, 2017) - Buying an annuity within your IRA or Roth IRA can be a smart move according to a recent article in the Yonkers Tribune.
"Despite the conventional wisdom, it often makes perfect sense to use an annuity in an IRA," writes Ken Nuss, CEO of AnnuityAdvantage, an online annuity marketplace. "It depends on your age, risk tolerance, desired asset allocation, and many other factors."
Guaranteed lifetime income-which only an annuity can deliver-can be invaluable, he writes.
"Any pre-retiree or retiree should consider annuities for part of their IRA portfolio," Nuss writes.
Another plus is that fixed-rate annuities guarantee your principal. Fixed annuities come in many types. Choosing the type that is suited to meet your goals is important, Nuss says. One type even offers growth potential along with guarantees.
Nuss covers the different types of fixed annuities and how they can work in an IRA.
A multi-year guaranteed annuity (MYGA) is much like a certificate of deposit, guaranteeing an interest rate for a set period, he writes. Because interest is credited annually and reinvested in the annuity and taxation is deferred until interest withdrawals begin, it's called a deferred annuity.
"Most MYGAs pay somewhat higher rates than CDs with a comparable term," he says.
Current rates are up to 3.40 percent for a 10-year annuity, up to 3.15 percent for a five-year contract, and up to 2.10 percent for a three-year annuity, according to AnnuityAdvantage's database of 290 fixed annuities.
The article also covers using immediate and deferred income annuities, fixed index annuities, and qualified longevity annuity contracts in IRAs. It can be read online at http://tinyurl.com/kmme7vr.
Nuss was recently quoted in a Kiplinger's Retirement Report article about dealing with RMDs when your IRA holds an annuity. His comments can be read at http://tinyurl.com/k7w6j3o.
Nuss's article on how to get some stock-market upside without any downside via fixed index annuities in Dentist's Money Digest can be read at http://tinyurl.com/kg9vxdm.
Based in Medford, Oregon, AnnuityAdvantage is a leading online provider of fixed-rate, fixed-indexed and immediate income annuities. Its team sorts through the array of annuity options to provide each client with product offerings custom tailored to their specific situation. Every annuity offered is filtered, screened and analyzed for client suitability.
More information is available at 800-239-0356 or https://www.annuityadvantage.com. Twitter: @AnnuityAdvantag. Facebook: https://www.facebook.com/AnnuityAdvantage.
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