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    Categories: Retirement

Will Annuity Rates Go Up In 2012?

I am asked on a daily basis whether annuity rates will go up in 2012 and the plain answer is that “I don’t know”.

But that is the wrong question. Whether annuity rates go up or down, does not answer your real question. Your real question is “Should I wait to take the annuity?”

And the answer to that is no. President Obama has said that he’ll keep rates low until the end of 2014 or 2 1/2 years away and Canada can’t disregard that.

And if annuity rates due rise, what are you going to do? How do you know that annuity rates won’t rise more. And then increase some more?

The only thing that is true is that if you will miss taking $500 a month for any period of time, you have to make the loss up in increased payments which is nearly impossible.

And what if annuity rates go down while you’re waiting?

Posted by: Phil Barker: Phil is a leading expert in life annuities in Canada. His website Life Annuities.com is a recognized authority on annuities. Recently, he's been redefining how annuities are sold in Canada.