Have you considered lifetime income?

You may have thought about an annuity before. You may want to think again.

Article highlights

  • Guaranteed lifetime income
  • Capital protection during down markets
  • Preserve your lifelong investments

Imagine never running out of money. Ever. An annuity can be designed to provide guaranteed lifetime income, offering you and your loved ones a level of income certainty that almost no other financial product can.

Your criteria: determining what matters

An annuity is a financial product designed for retirement that offers a lifetime income stream, access to leading investment
managers, options for guaranteed growth and income (available for an additional charge), and death benefit protection.


It is paid out regularly, starting when you and your financial advisor decide is right, on a schedule that meets your needs, and with the option to continue for as long as you live. You can choose between variable and fixed, depending on whether you’d prefer to take a more active role in how your money is invested or whether you’d rather go a more conservative route with a dependable return year after year. In terms of day-to-day involvement, annuities are no more complicated to manage than a mutual fund—but they have unique features and benefits.

The fundamental features of an annuity can be supplemented with the purchase of riders, for an additional cost. These can help customize your annuity to better suit your and your family’s needs, by addressing things like: 

  • Payments: Whether you receive guaranteed income, when it starts and how much money you receive.
  • Taxes: How withdrawals are structured and taxed.
  • Inflation: Whether a cost-of-living increase is accounted for in payouts, and by how much.
  • Costs: What you may pay, and in what circumstances.

Your investment: getting more than you imagined

Annuities aren’t too good to be true. However, they are too good to be free. When you buy an annuity, you’re buying the confidence that you can have a continuous stream of income for the rest of your life—the metaphorical safety net.

While the cost of an annuity may be more than the cost of some traditional investments, annuities are unique. With living benefit options, they offer guaranteed lifetime income that will never go down or run out, even if your principal goes down to zero. 

Annuities can give you significant advantages when it comes to making the most of your money, as there are tax benefits. They’re offered in both commission- and fee-based arrangements. Recent innovations in the financial services industry provide more options today than ever before, including solutions with more transparent pricing and lower fees.

Your future: capitalize on today’s market

Today’s prospective retirees need to plan for a retirement that could last 30 years or more.1 The need for reliable lifetime income as part of a well-diversified portfolio has never been greater.

As witnessed by periods of loss over the past 20 years, nothing is certain, and account values aren’t immune to external market forces. Annuities can provide a wide variety of benefit options that can lock in and protect investment gains, or even protect against the financial strain of an untimely death.

Annuities can be a powerful piece of your portfolio that can offer a stream of lifetime income that can help you maintain your lifestyle in retirement.

Explore Lincoln Financial annuity products to see what may be in your retirement plan’s best interest, or talk to your financial advisor about Lincoln Financial.

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1“Annuities: Breaking Myths and Building Income.” Lincoln Financial Group. 2016. 

Lincoln Financial Group® affiliates, their distributors, and their respective employees, representatives, and/or insurance agents do not provide tax, accounting, or legal advice. Please consult an independent advisor as to any tax, accounting, or legal statements made herein.

A fixed indexed annuity is intended for retirement or other long-term needs. It is intended for a person who has sufficient cash or other liquid assets for living expenses and other unexpected emergencies, such as medical expenses. A fixed indexed annuity is not a registered security or stock market investment and does not directly participate in any stock or equity investments, or index. The index used is a price index and does not reflect dividends paid on the underlying stocks.

Variable annuities are long-term investment products designed for retirement purposes and are subject to market fluctuation, investment risk, and possible loss of principal. Variable annuities contain both investment and insurance components and have fees and charges, including mortality and expense, administrative, and advisory fees. Optional features are available for an additional charge. The annuity’s value fluctuates with the market value of the underlying investment options, and all assets accumulate tax-deferred. Withdrawals of earnings are taxable as ordinary income and, if taken prior to age 59½, may be subject to an additional 10% federal tax. Withdrawals will reduce the death benefit and cash surrender value.

Investors are advised to consider the investment objectives, risks, and charges and expenses of the variable annuity and its underlying investment options carefully before investing. The applicable prospectuses for the variable annuity and its underlying investment options contain this and other important information. Please call 888-868-2583 for free prospectuses. Read them carefully before investing or sending money. Products and features are subject to state availability.

Lincoln annuities are issued by The Lincoln National Life Insurance Company, Fort Wayne, IN, and distributed by Lincoln Financial Distributors, Inc., a broker-dealer. The Lincoln National Life Insurance Company does not solicit business in the state of New York, nor is it authorized to do so.

Contracts sold in New York are issued by Lincoln Life & Annuity Company of New York, Syracuse, NY, and distributed by Lincoln Financial Distributors, Inc., a broker-dealer.

All contract and rider guarantees, including those for optional benefits, fixed subaccount crediting rates, or annuity payout rates, are subject to the claims-paying ability of the issuing insurance company. They are not backed by the broker-dealer or insurance agency from which this annuity is purchased, or any affiliates of those entities other than the issuing company affiliates, and none makes any representations or guarantees regarding the claims-paying ability of the issuer.

There is no additional tax-deferral benefit for an annuity contract purchased in an IRA or other tax-qualified plan.