Income Annuities in New York

An Income Annuity is a contract between you and an insurance company. You make a lump-sum payment, and in return, the insurance company guarantees you a set amount of income paid out monthly, quarterly, or annually. Depending on the type you choose, that income can last for a fixed number of years or for the rest of your life.



The core appeal is straightforward. Most retirement accounts fluctuate with the market. Social Security alone often isn't enough. An Income Annuity fills the gap by converting a portion of your savings into a reliable, predictable income stream you can build the rest of your retirement budget around.

Not all Income Annuities work the same way. Here are the main types so you can understand which structure fits your situation.

1. Immediate Income Annuity: You make a single lump-sum payment and income begins within 30 days. This is the simplest structure and works well for people who are already retired and need income to start right away.
   
   
2. Deferred Income Annuity: You fund the annuity today but delay income payments until a future date, often 5, 10, or 15 years out. The longer you wait, the higher your monthly payment. This works well for people who are still working and planning ahead.
   
   
3. Single Life vs. Joint Life: A Single Life annuity pays income for your lifetime only. A Joint Life annuity covers both you and your spouse, continuing payments until the second person passes. Joint Life offers more coverage but typically results in a lower monthly payment.
   
   
4. Period Certain: This option guarantees payments for a minimum number of years. If you pass away before that period ends, your beneficiaries receive the remaining payments. It's a way to ensure the money doesn't disappear if something happens early.
   

Deciding how much of your retirement savings to convert into guaranteed income is one of the most consequential financial decisions you'll make. Get too conservative and you leave growth on the table. Rely too heavily on market-based accounts and one bad sequence of returns can permanently damage your retirement.

At Jason Hrzich American Senior Benefits, we work through your full income picture before making any recommendations. That means looking at your Social Security timing, your existing accounts, your monthly expenses, and what you want your retirement to actually look like day to day.

We work with multiple carriers, so the recommendation is built around your needs, not a single product line. If an Income Annuity belongs in your plan, we'll show you exactly how it fits. If it doesn't, we'll tell you that too.

Schedule a free consultation to get started.