Tension Free Investment Options

By Author: Robert Cook
Total Articles: 111
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Savings is almost a part and parcel of our life and its need is felt most, when a person retires. This makes savings very important and annuity is an important of it. There are a variety of schemes and it makes one of the best investment options before any type of investor. They can reap its benefits after retirement or at the time there is the real need of that money. Certain schemes help to save on tax and it is one of the most favored by the investors. It can help an investor to make profit on their investment.



In order to keep you protected from paying tax, there is the option of tax deferred annuity. As the name suggests it helps an investor to bypass tax. As long the amount remains invested, the person can defer to pay any type of paying tax. It helps the investment to grow on a long term basis and this also helps to make some wealth on the part of the investor. Within the investment period an investor can make periodic investments and helps the value of the investment to get accumulated and throughout, the process the investment remains completely tax free. A certified financial can help an investor ...
... to understand the scheme.



Each and every annuity offers income in a variety of ways and this makes them popularly known as Income annuity. Generally an investor will come across three different types of annuity, like

Fixed Annuity – It is said to be one of the oldest and the most popular of the lot. It guarantees a fixed rate of return on the investment of an investor.
Variable Annuity- The interest rate is variable, so is the income and it has its own advantages and disadvantages. Persons with some special financial situations can benefit from this scheme.
Indexed Annuity – This financial product is related to the equity investment of the stock market.

As part of different types of annuity product available in the market, the tax deferred annuity is one of most favored of the lot. It is the most safe, since an investor can invest in the scheme and enjoy the interest for an indefinite period. It is only taxed at the time of withdrawal. As far the income annuity is concerned, it is available in all types of scheme, since all the annuity schemes provides long term income and is considered very safe among the retired persons over other financial schemes.