A brief review of deferred-income annuities Blog added by Mike McGlothlin CFP®, CLU, ChFC, LUTCF on August 25, 2014
Mike McGlothlin

Mike McGlothlin CFP®, CLU, ChFC, LUTCF

Fort Wayne, IN

Joined: March 06, 2014

What is a DIA?

A delayed or deferred-income annuity is designed to provide a stream of income beginning at a future date. It can help your clients pre-fund their retirement by creating a customized stream of income payments. Clients choose when payments begin, and they may also have the ability to change the date should the need arise.

Who is best suited for this product?
  • Individuals who are still working and want to create their own “pension-like” retirement income
  • Individuals with money in 401(k) accounts sitting at former employers
  • Retirees looking to protect their retirement plans should they live beyond their life expectancy
How do DIAs work?

DIAs are financial products that help make sure your clients cannot outlive their assets. Your clients can purchase a DIA annuity before or after they retire. And as soon as they reach a pre-determined date, they can receive a guaranteed monthly income for the rest of their life — no matter how long they live.

See also: The Final Four product review: SPIAs, DIAs & Index Income Riders
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