Remember, the greatest risk you face is retirement risk - not having enough money to live the lifestyle of your choice. For every year that you have earned income, you are entitled to contribute to an IRA that will grow tax deferred to help meet your retirement needs. Many banks, mutual fund companies, insurance companies, and other financial service providers offer IRA accounts. Check them out. In some cases, you may be eligible to deduct all or part of your IRA contributions from your income for the year the contribution was made.
IRAs offer a great way for everyone to save for retirement.
Annuities Are Another Long-Term Strategy. You can contribute to an annuity and avoid current taxation, helping to make your savings grow faster than they otherwise may. Fixed annuities pay a fixed rate of interest for a specified number of years and may offer a principal gaurantee from the issuing insurer. Variable annuities do not offer guarantees, but provide the potential for greater growth through an array of investment funds, including stock, bond, and stable value alternatives. The opportunity for savings growth on a tax-deferred basis makes annuities worth considering.