Annuity Guys®

Annuity Rates, Features & Ratings: America's trusted annuity resource. Compare best options for hybrid, index, fixed, variable & immediate annuity quotes.


Helping You Create Great Results Your Retirement Deserves!



(217)753-1515
  • Home
  • About Us
    • About Us
    • Contact Us
    • Site Terms & Disclosure
    • Privacy Policy
  • FAQs
    • Most Frequently Asked Annuity Questions
  • All Annuity Guys Videos
  • Annuity Types
    • Best Annuity Reviews
    • Market Free™ Annuities
    • Choosing an Annuity
    • Deferred Annuities
    • Hybrid Annuity Choices
      • Hybrid Annuity Pros&Cons
      • Hybrid Income Riders
      • Hybrid Annuity Guarantees & Strategies
    • Fixed Annuity Choices
      • Fixed Annuity Performance
      • Better Fixed Annuities
      • Fixed Deferred Annuities
      • Fixed Rate Annuities
      • Fixed Annuity Alternatives
      • Fixed Annuity Pros & Cons
      • Fixed Annuity Negatives
    • Index Annuity Choices
      • Fixed Index Annuity Features
      • Fixed Index Annuity Performance
      • Better Fixed Index Annuities
      • Fixed Index Annuity Alternatives
      • Fixed Index Annuity Pros & Cons
      • Fixed Index Annuity History
      • Fixed Index Annuity Negatives
    • Immediate Annuities
      • Immediate Variable Annuity
      • Immediate Fixed Annuities
    • Variable Annuities
      • Variable Annuity Features
      • Better Variable Annuities
      • Variable Annuities Disadvantages
      • Variable Annuity Alternatives
      • Variable Annuity Negatives
      • Variable Annuity Performance
    • Pre-Issued Annuities™
      • Hybrid Annuities versus Pre-Issued Annuities ™
    • Annuity Glossary
  • Articles
    • How Do MarketFree™ Annuities Work?
    • Are Annuities Safe?
    • Living Benefits
    • FIA Performance
    • Beware of FIAs?
    • Annuities & Retirement
    • Annuities & Estate Tax
    • Rollovers & Annuities
    • Annuities & Tax
    • Charity & Annuities
    • The Lost Decade
    • Best Annuity Videos
    • Social Security Benefits
  • Calculators
    • Retirement Planning Calculator — Basic
    • Retirement Shortfall Calculator — Basic
    • Immediate Annuity Calculator & Quotes
    • Fixed Index Annuity Calculator & Fixed Annuity Calculator
    • Variable Annuity Calculator & Hybrid Annuity Calculator
  • Blog
    • Annuity Guys® Weekly Annuity Video Blogs
  • Get Annuity Guys Help
    • Request Annuity Guys’ Planning Help Today
You are here: Home / Annuity Types / Fixed Index Annuities

Fixed Index Annuities

Today's Top Ten Fixed Annuity Rates (MYGA)

ALL rates are continually subject to change and accuracy is never guaranteed since rates and features change frequently. Rates are provided for conceptual and educational purposes only. RATES SHOWN ARE NOT A SOLICITATION.
 

Critics Get Blindsided by Fixed Index Annuity Growth

Because of fixed index annuities stock market indexing strategies, they can bring conservative investors very nice interest growth. Especially during a flat or down stock market; considerably better returns than CDs, bonds, or money market accounts. From the 1999 to 2010 many fixed index annuities have actually outperformed the indexes they were correlated with. However, they really aren’t designed to outperform the stock markets even though they do at times; they are designed to outperform the fixed markets such as bonds or banking instruments over the long term.

**Guarantees, including optional benefits, are backed by the claims-paying ability of the issuer, and may contain limitations, including surrender charges, which may affect policy values. During this segment, Dick and Eric are referring to Fixed Annuities unless otherwise specified.

Review 3-Best Retirement Annuities for Your
GROWTH, INCOME & SAFETY!

Principal protection and a chance to benefit from market gains make fixed index annuities quite attractive. During the accumulation phase of an FIA, you have the opportunity to benefit from stock market gains while your principal is protected against stock market losses. The annuity contract usually **guarantees you a minimum rate of interest on your purchase payments while the annuity is growing. The insurance company involved will credit you with either the minimum return stated in the contract or a return based on the performance of the linked index.

If you are skittish about stock market investing, you can potentially realize the benefits of stock market participation through this comparatively no-risk annuity. there is a small risk when the stock market loses money in that year you will not have a gain however you will not lose any principal or accumulation. The nice thing is that percentage gains are based on the anniversary reset. So if the market was down 25%, your crediting would start at the new market low and any percentage gains from that low point would be credited to your account up to a specified amount – usually half or more of the market gains for the new year with of loss to accumulation or principal. This works especially well with flat or declining markets over long periods of time.

Participation rates to note: Each FIA has a particular participation rate. The participation rate signifies the percentage of the invested assets within the annuity keyed to the linked index.

Let’s say you have an FIA linked to the S&P 500 and the participation rate is 60%. That means 60% of your annuity assets will raise with the index. If the S&P 500 gains 10% across a year, this means your annuity gives you a 6% return for the year (with typically no fees or administrative charges). Compare that 5-7% potential return to so many CDs and money market accounts which generate a pittance of interest.

Some FIAs measure an index’s gain on an annual basis, others over the entire term of the annuity. Sometimes there are ceilings on just how high a return you can realize. From time to time, participation rates may be reset by the insurance company. Occasionally, a margin or spread determines the index-linked interest rate instead of a participation rate. In this case, if your annuity gains 10% and the spread is 2.5%, your credited gain is 7.5%.

Tax-deferred growth, an income stream and often a death benefit. Most FIAs give you all the features of a fixed annuity; your earnings are not taxed, and when the distribution phase of your annuity starts, you can receive periodic (usually monthly) income payments. (Sometimes you can take the entire value of your annuity as a lump sum at the end of the contract term. It is your withdrawals that are taxed.) There is often a **guaranteed minimum death benefit payable to your beneficiary when you pass away. Key things to consider when choosing a fixed index annuity are:

  • High independent ratings for safety concerns
  • High interest crediting for growth
  • Generous payouts for income
  • More liquidity for emergency cash needs
  • Shorter surrender periods or lower surrender penalties
  • Additional benefits such as payouts for long term care, terminal illness and death benefits
  • Flexible income riders that allow both lifetime income and the ability to pass any remaining account value to heirs
  • More indexing options for higher growth potential
  • Better indexing strategies for higher growth potential
  • Higher cap rates, higher participation, higher averaging
  • A larger bonus
  • No or low annual fees
  • Shorter vs. a longer reset to grow and protect accumulation
  • High water mark vs. annual point-to-point
  • Higher deferred growth of the income base
  • Availability of the income base for a death benefit
  • Joint survivor income **guarantees

Best 3 Hybrid Annuities Ad

There are many considerations that may be relative to your situation. What fixed index annuity works best for a 50-year-old single mother may be a total disaster for you and your wife. It is important to understand that no one fixed index annuity will give you everything you need or want. So, it is necessary to prioritize your needs. List all of your preferences and needs and then prioritize them on a scale of 1-10; 1 being the least concern and 10 being the greatest. Now start the process of comparing rates and options from top companies until you find the best overall fixed index annuity to address your unique situation. Utilizing a financial planner/educator can be of great value once you have familiarized yourself with the basic aspects of fixed index annuities.

Fixed Index Annuity Benefits

  • Safety: Backed by highly rated state regulated insurers
  • Tax Deferral: Tax-deferred growth
  • Higher Return: Better interest rate potential than CDs and standard fixed annuities
  • Life Insurance: Death payout **guarantees
  • Liquidity: Flexible withdrawal privileges
  • Unlimited Contributions, unlike IRAs and 401(k)s
  • Inheritance: Pass money directly to heirs bypassing probate
  • Lifetime Option: Income you can’t outlive (Annuitization or a Living Benefit Rider)

Fixed Annuity with Indexing Options

[FIA, Fixed Indexed Annuity

& EIA, Equity Indexed Annuities]

  • Lump-sum or periodic contributions
  • Invested in mostly high quality A-AAA bonds
  • Annual interest crediting risk. Insurance company **guarantees principal
  • Higher rate potential based on index performance (such as S&P 500, Dow Jones, NASDAQ, etc.)
  • Moderate growth
  • 4% to 8% interest crediting potential varies with index performance
  • 3- to 14-year term normal
  • Sophisticated, greater potential
  • Guaranteed retirement income options
  • Annual fees, minimal to none
[embedit snippet=”video-specialist-button-index”]

 

 

 
Fixed Index Annuity Summary

All fixed index annuities are tax deferred with no income tax requirement until withdrawal. This is a definite advantage over many investments like CDs, mutual fund^s, stocks and bonds; when considering a long term retirement investment. A long term fixed index annuity acquisition may outperform CDs, bonds and treasuries. Reinvesting money that would otherwise be paid out in tax over an extended period of years is always an advantage. In addition, fixed index annuities have several benefits that can be important for retirement planning .

Question: Why is a fixed index annuity not regulated as a securities investment like a variable annuity#?

Answer: The insurance institution for fixed index annuities assumes all risk and **guarantees principal with at least a minimal rate of return, unlike variable annuities# where the insurance company transfers risk to the client.
 

346
SHARES
ShareTweetGoogleLinkedinPinterestSkypeStumbleuponTumblrDeliciousDiggRedditMail

 

Empowering Annuity Reference Book

 
DOWN-LOAD NOW - FREE!
  • Annuity Guys Reference Book - 250 pages of Annuity Facts

  • "The New Retirement"
    Annuity Reference Book 
    Free Instant Download
  • Confidential - Easy Opt Out

 

  • How are Annuities Affected by the New 2015 Rollover Rules?

    How are Annuities Affected by the New 2015 Rollover Rules?

    The Internal Revenue Service is changing the IRA rollover rules this year – if you don’t know about this change …Read More »
  • Trust the stock market or hedge with annuities?

    Trust the stock market or hedge with annuities?

    Are you aware that the greatest number of consecutive days the Dow has ended with a gain is only 13? Since 1950 …Read More »
  • Are Annuities Best for Income or Growth?

    Are Annuities Best for Income or Growth?

    You have heard the old saying, “you can’t have your cake and eat it too!” But what if you could?Retirees …Read More »

Revealing Fun Video: Fiduciary Advisors Vs. Annuity Salesmen
MUST KNOW FACTS 90% of
ANNUITY ADVISORS AVOID TELLING!
  • *FIDUCIARY RETIREMENT REVIEWS
    Second Opinions Improve Retirements
     
    "For Your Retirement's Success"
     Choose a *Fiduciary Advisor who gives you Full Disclosure of Cost & Selection.
     
    Material Fact 1:
      About 90% of advisors ARE NOT REQUIRED by law to do what is best for their clients!
     
    Material Fact 2:
     Fiduciary Advisors ARE REQUIRED by law to do what's best for their clients! 
     
      Hence, clients of a fiduciary can know that their advisor chose the highest legal standard required by law to work strictly for their highest good.
     
     We estimate Fiduciaries are less than 10% of total U.S. financial service providers. Fiduciaries are held to the highest client legal standard of financial planning and investment advice.
     
     The other 90% are sales oriented advisors, brokers, bank reps, registered reps. & insurance agents, selling products on a much lower suitability legal standard, not necessarily what's best for their client!
     
       Fiduciaries also must disclose conflicts of interest that could potentially bias their advice, such as; selling products that pay them higher commissions having higher fees or costs, and their lack of investment product access limiting their client's opportunities, to name a few.
     
    Choosing your advisor can have
    "The Largest Single Impact on
    Your Retirement's Success or Failure"


  • Why Should Anyone Rely on an Annuity?

    Why Should Anyone Rely on an Annuity?

    By protecting your income foundation with an annuity or annuities — and including Social Security and/or a pension as non-commercial …Read More »
  • Is a Pre-Issued Annuity right for you? – Part 2

    Is a Pre-Issued Annuity right for you? – Part 2

    This is a two part blog on Pre-Issued Annuities. In part 1 we examined some of the reasons why someone …Read More »
  • Do Not Waste Time Considering Annuities, If You…

    Do Not Waste Time Considering Annuities, If You…

    Do not waste your time considering annuities if you cannot find one of the following Annuity Profiles that matches your …Read More »
  • Are Annuities a Good Choice in a Low Interest Rate Environment?

    Are Annuities a Good Choice in a Low Interest Rate Environment?

    One of the questions we have heard asked quite a bit lately, “Is it the right time to buy an …Read More »
  • 1035 Exchange – Replacing an Annuity

    1035 Exchange – Replacing an Annuity

    Keeping the taxman at bay may seem next to impossible these days, however with annuities the IRS/Congress blessed us with …Read More »
  • Annuity Scams – Fear Factor or Reality?

    Annuity Scams – Fear Factor or Reality?

    The Internet is full of warnings and alerts about annuity scams that create the appearance of  industry run amok with …Read More »
  • Annuities vs (IUL) Indexed Universal Life – How do they compare?

    Annuities vs (IUL) Indexed Universal Life – How do they compare?

    What are the differences between a hybrid index annuity and an (IUL) index universal life policy? Wow! Steve, we thought we …Read More »
  • Smooth Market Volatility with Fixed Index Annuities

    Smooth Market Volatility with Fixed Index Annuities

    We all have heard the saying “what goes up, must come down” However, when it comes to your retirement portfolio …Read More »

View Our Newest Videos! Subscribe Now
  • Annuity Guys Videos - Annuity Answers
  • New Annuity Guys Videos
    Our Entertaining & Informative
     Saturday Morning Video Blog
  • Timely Retirement & Annuity Issues - Easy Opt Out


  • Beware of Best Annuity Claims Aka Sales Hype!

    Beware of Best Annuity Claims Aka Sales Hype!

     When you begin research on annuities via the internet it does not take long before you realize that most sales people, agents, and …Read More »
  • How Much Income Can You Withdraw Safely in Retirement?

    How Much Income Can You Withdraw Safely in Retirement?

    A Reuter’s article hit our desk recently. It’s based on a “safe withdrawal rate” during retirement (safe being relative since we’re …Read More »
  • Hybrid Annuities as an Inflation Hedge

    Hybrid Annuities as an Inflation Hedge

    Inflation – this one word strikes terror in the hearts of many retirees on a fixed income.Never to fear, we have a cost of …Read More »
  • When is Zero Good News for Hybrid Annuities?

    When is Zero Good News for Hybrid Annuities?

    Have you called someone a “good-for-nothing” and thought you were being derogatory?With hybrid annuities, being good for nothing in the bad …Read More »
  • A Lump Sum Buyout or Keep Your Pension –  Which is Best?

    A Lump Sum Buyout or Keep Your Pension – Which is Best?

    It is a statistical fact that “Retirees love their pensions”. Studies consistently show that pensions are favored over qualified retirement savings plans …Read More »
  • Give Money to an Internet Annuity Advisor!  Are You Crazy?

    Give Money to an Internet Annuity Advisor! Are You Crazy?

    We don’t work with crazy people (okay, maybe a couple, LOL), but we do work with a lot of sincere folks who …Read More »
  • Is One Million in Annuities or Securities Enough to Retire On?

    Is One Million in Annuities or Securities Enough to Retire On?

    If I had a million dollars, I’d be rich… but, would I be rich enough to retire for 30 plus …Read More »
  • Why You Should Ladder Annuities…

    Why You Should Ladder Annuities…

    When your financial advisor starts to talk to you about laddering, realize that they are talking to you about using …Read More »
Get Newly Released Annuity Guys® Videos on Saturday Mornings
  • Annuity Guys Videos - Annuity Answers
  • New Annuity Guys Videos
    Our Entertaining & Informative
     Saturday Morning Video Blog
  • Timely Retirement & Annuity Issues - Easy Opt Out


  • Stocks, Bonds and Annuities – How Much in Each?

    Stocks, Bonds and Annuities – How Much in Each?

    Remember making decisions this way, growing up, eeny, meeny, miny, moe, this may have been a helpful rhyme for making …Read More »
  • Exposing Why Some Advisors Love or Hate Annuities

    Exposing Why Some Advisors Love or Hate Annuities

    “Why can’t we all just get along?” It seems that the spirit of divisive partisan politics has invaded the investment …Read More »
  • Should I Plan to Live to 100?

    Should I Plan to Live to 100?

    In “The law of Averages: Why We Underestimate Risk in the Face of Uncertainty,” Stanford management-science professor Sam Savage illustrates …Read More »
  • Are Annuity Surrender Charges a Deal Breaker?

    Are Annuity Surrender Charges a Deal Breaker?

    The last time you bought a new car, how much of a factor in your purchase decision was the vehicles …Read More »
  • Annuities: What Percentage Should Be in Your Retirement Portfolio?

    Annuities: What Percentage Should Be in Your Retirement Portfolio?

    The answer is… 50 percent (NOT!!!) — want to know why many insurance sales agents might say that?It’s nice when …Read More »
  • Stop Annuity Procrastination: New Years Resolution!

    Stop Annuity Procrastination: New Years Resolution!

    Procrastination – or the act of replacing high-priority actions with tasks of lower priority.We always hear of people who spend more …Read More »
  • Are Annuity Complaints on the Rise?

    Are Annuity Complaints on the Rise?

    Mom always said; “If you don’t have anything good to say, don’t say anything at all.”Well, we want you to …Read More »
  • OutCome Based Planning™ for Retirement

    OutCome Based Planning™ for Retirement

    We practice and recommend a “Holistic – OutCome Based Planning™ process when considering annuities.” This approach has the effect of …Read More »
  • Five Early Annuity Surrender Options

    Five Early Annuity Surrender Options

    There may be 50 ways to leave your lover, sings Paul Simon! And, there are at least five ways to …Read More »
  • Annuity Ratings, are they Believable?

    Annuity Ratings, are they Believable?

    U.S. to sue S&P over Ratings – that was this years’ February 5th headline in the Wall Street Journal. If the federal government …Read More »

 

Empowering Annuity Reference Book

 
Start Reading Now - Instant Download
  • Annuity Guys Reference Book - 250 pages of Annuity Facts

  • "The New Retirement"
    Annuity Reference Book 
    Free Instant Download
  • Confidential - Easy Opt Out

 
Comprehensive Site Terms and Disclosure | Privacy Policy | Copyright © 2023 Annuity Guys®


  ** Guarantees, including optional benefits, are backed by the claims-paying ability of the issuer, and may contain limitations, including surrender charges, which may affect policy values. Annuities are not FDIC insured and it is possible to lose money.
Annuities are insurance products that require a premium to be paid for purchase.
Annuities do not accept or receive deposits and are not to be confused with bank issued financial instruments.
During all video segments, Dick and Eric are referring to Fixed Annuities unless otherwise specified.


  *Retirement Planning and annuity purchase assistance may be provided by Eric Judy or by referral to a recommended, experienced, Fiduciary Investment Advisor in helping Annuity Guys website visitors. Dick Van Dyke semi-retired from his Investment Advisory Practice in 2012 and now focuses on this educational Annuity Guys Website. He still maintains his insurance license in good standing and assists his current clients.
Annuity Guys' vetted and recommended Fiduciary Financial Planners are required to be properly licensed in assisting clients with their annuity and retirement planning needs. (Due diligence as a client is still always necessary when working with any advisor to check their current standing.)



  # Investors should consider the investment objectives, risks, charges and expenses of a variable annuity and its underlying investment options. The current prospectus and underlying prospectuses, which are contained in the same document, provide this and other important information. Please contact an Investment Professional or the issuing Company to obtain the prospectuses. Please read the prospectuses carefully before investing or sending money.


  ^ Investors should consider investment objectives, risk, charges, and expenses carefully before investing. This and other important information is contained in the fund prospectuses and summary prospectuses, which can be obtained from a financial professional and should be read carefully before investing.


  ^ Eric Judy offers advisory services through Client One Securities, LLC an Investment Advisor. Annuity Guys Ltd. and Client One Securities, LLC are not affiliated.


346 SHARES