Not everyone can say that they are retiring with a sizable pension income. Due to the continuous decline in annuity rates, not many people retire with huge amounts of capital in their bank accounts. Some even have to put aside the luxuries of a classy life and make changes to their daily routine to accommodate the lower pension income. For this reason a lot of retired individuals are found asking “where should I invest my money?”

Before we answer this question we would emphasize that retirement is not the time when you put your capital into high-risk investments especially without proper counsel. You would have to choose your options wisely and after consulting with annuity specialists.

Treasury Bonds

One of the primary options to choose for retirement savings is treasury bonds. These are one of the safest options and also they have a fixed interest rate. This means that you are guaranteed to receive the least assigned amount of growth over the life of the bond. It is true that treasury bonds won’t get you as much money as a good stock market gamble would however, this investment is safer and it comes with a decent profit.

Annuities Or 401(K)

Another safe option is to purchase an annuity or a 401(k) plan. Most financial advisers in the United States advise and recommend people to get an annuity plan because it lets you put money into an account (a lump sum amount or over time) before retirement which you can cash in to receive in monthly installments after retirement. There is a list of annuity types that are available to people looking for retirement saving options and one can select the annuity plan that suits him the best.

Investment

Investing your pension fund invested in shares, bonds and other financial instruments and getting a regular income from it by cashing in those investments is becoming a popular post retirement trend. This is a more risky option because your money remains invested in funds that can go up and down but can be more rewarding if there is growth in the stock market.

Buying an annuity is a big decision that a retiree has to make sensibly. Sometimes deciding between best annuity or 401(k) quotes take time and often pensioners wait for the rates to go up. However, recently it has been revealed that pensioners who delay in choosing their annuity risk losing hundreds and thousands of pounds. They may even have to wait for almost 30-36 years in order to cover up the shortfall they encountered.

For a lot of people, after-retirement phase is the most challenging phase of a person’s life. They think that one has to live the least luxurious and least mobile life during their retirement days. However, all of this is incorrect. Depending on what one saves today his future life would be affected. If a person manages to save good amount of money during his work life, he can spend his after-retirement life with extreme comfort. With that in mind, these are some of the safest and best options to invest your money in to have a secure post-retirement life. Whether you invest in treasury bonds or pension annuity plans you should rest assured that your capital is safe.