Don T Buy Annuities -

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

Once you fund an annuity, your money is often "locked away," making it difficult to respond to life's emergencies. don t buy annuities

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. Unlike a brokerage account where you can sell

Most contracts impose steep penalties—sometimes as high as 10% or more—if you withdraw funds during the first 6 to 10 years. your money is often "locked away

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.