Don T Buy Annuities -

Annuities are notorious for complex fee structures that are often higher than traditional investments.

In some flexible-premium contracts, every new contribution starts its own multi-year surrender clock, effectively keeping your capital illiquid indefinitely. 3. Inflation and Purchasing Power Risk

Variable annuities can carry annual fees exceeding 3%, including mortality and expense (M&E) risk charges, administrative fees, and management fees for underlying subaccounts. don t buy annuities

The greatest threat to a fixed annuity is the gradual erosion of buying power over time. 5 Reasons Why People Hate Annuities - Trajan Wealth

Unlike a brokerage account where you can sell shares as needed, an annuity typically restricts you to a "penalty-free" withdrawal of only about 10% per year. Annuities are notorious for complex fee structures that

Once you fund an annuity, your money is often "locked away," making it difficult to respond to life's emergencies.

Agents can earn 1% to 10% of the total contract value in commissions, which are often "baked in" but ultimately reduce the starting value of your investment. Inflation and Purchasing Power Risk Variable annuities can

Optional features like death benefits or inflation protection add further annual expenses, potentially eating into the very returns they are meant to protect. 2. The "Liquidity Trap" and Surrender Charges