What are annuities?

Annuities are investment products sold by insurance companies, allowing for lump sum or installment investments that grow over time. They are an excellent choice for retirement planning due to the stable and dependable income they provide during retirement years. The most significant benefit of an annuity is the fixed monthly payments to the investor once it is converted to cash, providing extra income that is crucial, particularly since social security may not be sufficient in the future. So how do annuities work? An annuity is a contract between an insurance company and an individu