Annuities, at their core, are simply tax-deferred investments sold by insurance companies to supplement financial security during retirement. At the same time, there are many different types of annuities that make annuities more complex. ‌As‌ ‌a‌ ‌result,‌ ‌Americans may be scared of annuities when ‌considering‌ ‌their‌ ‌financial‌ ‌goals.
With that said, one of the most frequent questions people have regarding annuities is, “What happens to my principal?” Well, here’s what you need to know.
What is Annuity Principal?
One of the main concerns of many retirees is running out of money. In fact, this is the top concern for almost half of Americans….