Why Retirees Find Annuities So Appealing When it comes to retirement, annuities offer security, predictability, and simplicity during a time meant for leisure, not financial stress. Peace of mind. In retirement, you should unwind, pursue hobbies, enjoy your family, and not constantly monitor your investment portfolio. With annuities, retirees can turn their hard-earned savings into a , An annuity is a tax-deferred insurance contract. The details on how it works vary, but here's the general idea. You invest your money (either a lump sum or a series of contributions) with a life insurance company that sells annuities (the annuity issuer). The period when you are funding the annuity is known as the accumulation phase., Best annuities of 2025: Lincoln OptiBlend, MassMutual Stable Voyage, Nationwide Destination Future and MassMutual RetireEase., , , .