Building a Smarter Retirement Income Strategy with Laddered Annuities

Rethinking Retirement Income

When planning for retirement, one of the biggest questions is when to lock in your income. Commit too early, and you might miss out on future rate increases. Wait too long, and you risk uncertainty in the markets.

That’s where laddered annuities come in, a flexible strategy designed to give you the best of both worlds: stability now, and opportunity later.

At National Annuity Educators, we help you understand how annuity laddering can add structure, adaptability, and peace of mind to your financial plan.

What Is a Laddered Annuity?

A laddered annuity isn’t a specific type of product, it’s a strategy. Instead of putting all your money into one annuity contract, you divide it across multiple annuities with different purchase dates or maturity periods.

Each “rung” on your ladder starts paying out at a different time. That means you can balance guaranteed income today with the potential for higher rates in the future.

How Annuity Laddering Works

Here’s a simple example:Let’s say you invest in three fixed annuities.

• Annuity No. 1 starts paying immediately

• Annuity No. 2 starts in five years

• Annuity No. 3 starts in ten years

As each annuity matures, it provides income at potentially better rates, while the others continue to grow tax-deferred. This approach lets you spread out risk, maintain liquidity, and keep your options open as interest rates evolve.

Why Use a Laddered Annuity Strategy?

Flexibility Over TimeYou can adjust the timing and size of each contract to match your financial goals, upcoming expenses, or lifestyle needs.

Protection Against Rate ChangesBy purchasing annuities over time, you reduce the risk of locking in a low interest rate for your entire portfolio.

Reliable, Predictable IncomeEach annuity provides its own guaranteed payout schedule, creating a smooth, consistent income stream for retirement.

Tax-Deferred GrowthWhile waiting to start, your deferred annuities continue compounding earnings tax-deferred, maximizing future income potential.

Who Benefits Most from Annuity Laddering

This strategy works especially well for:

• Retirees who want guaranteed income but prefer not to commit all at once

• Savers concerned about rising interest rates or inflation

• Individuals who want greater control over how and when their income begins

In short, laddering can turn your annuities into a structured, yet flexible retirement income plan, one that grows with you over time.

A Balanced Approach to Retirement Security

Combining laddered annuities with other retirement income sources, like Social Security, 401(k)s, or IRAs, can help balance growth, safety, and predictability.

It’s a modern solution to a modern retirement challenge: creating stability that adapts.

Guidance You Can Trust

Choosing the right annuity strategy can feel complex, but it doesn’t have to be. Our network of fiduciary advisors are legally required to put your interests first, ensuring your financial plan aligns with your goals, not product commissions.

We’ll help you explore whether annuity laddering is right for you, and how it can fit into your broader retirement income plan.

Ready to Take the Next Step?

Schedule a free consult with National Annuity Educators and start designing a retirement income plan that adapts as you do.

Confidence in retirement starts with clarity, and we’re here to help you find it.