Should You Buy an Annuity While You Have Social Security? Here’s What Experts Say.
“A key difference is that with annuities, you can also use the products to accumulate wealth as you save for retirement,” Byrnes said. “Fixed index annuities, for example, offer a variety of index accounts that allow savers to earn interest credits based on the performance of financial markets,” he added. “You don’t have actual exposure to market volatility, interest is earned tax-deferred and principal is guaranteed.”