Different types of investments

The more you know about the basics of investing — how it works, types and options, managing risk, the right mix — the more clarity you’ll have. You’ll make more educated choices about what’s best for the life you want, now and in the future. 

How to build a strong investment portfolio

Want to better understand how to invest? Select an option below to explore your options. 

Investment income

What’s the difference between a traditional IRA and a Roth IRA?

If you think you might be in a lower income tax bracket when you retire, consider a traditional IRA. By contributing money that you can deduct from your income tax return, you’ll reduce your taxable income now. When you eventually withdraw money from your IRA during retirement, you may possibly have less income. So, although you’ll still be taxed on those earnings, it will likely be at a lower rate.

If your current income falls within government specified limits, and you expect to be in a higher income tax bracket at retirement, consider a Roth IRA. You will contribute to your account now with money that you‘ve already paid taxes on (after-tax contributions). Your earnings will grow federally tax-free, which should allow them to build faster. When it’s time to withdraw that money in retirement, you’ll typically be free from paying any taxes.

How can annuities help with my retirement plan?

As part of the mix in your retirement planning strategy, annuities may help you achieve a greater level of income stability, so that no matter how long you live, you won’t outlive that stream of income. If the income you receive from an annuity can cover your fixed costs, you may spend your other retirement savings with greater confidence. An income annuity can create guaranteed cash flow. Look at immediate annuities if you need income right away. If you have time, deferred income annuities might suit you better. 

How can I prepare my employees for retirement?

Retirement savings plans can help your staff save for the future. Offering a 401(k) plan is one way to make sure your employees build savings, and the contributions employees put in can reduce their taxable income. You can match a certain percentage of your employees’ contributions and help their savings accumulate faster.

How much Social Security benefits can I expect to receive?

You can check online and, based on your actual earnings record, get an estimate of how much Social Security benefits you can expect to receive. 4

Disclaimer

1

Guardian, its subsidiaries, agents and employees do not provide tax, legal, or accounting advice. Consult your tax, legal, or accounting professional regarding your individual situation.

2

Some whole life polices do not have cash values in the first two years of the policy and don’t pay a dividend until the policy’s third year.  Talk to your financial representative and refer to your individual whole life policy illustration for more information

3

Policy benefits are reduced by any outstanding loan or loan interest and/or withdrawals. Dividends, if any, are affected by policy loans and loan interest. Withdrawals above the cost basis may result in taxable ordinary income. If the policy lapses, or is surrendered, any outstanding loans considered gain in the policy may be subject to ordinary income taxes. If the policy is a Modified Endowment Contract (MEC), loans are treated like withdrawals, but as gain first, subject to ordinary income taxes. If the policy owner is under 59 ½, any taxable withdrawal may also be subject to a 10% federal tax penalty.

4

Contact the Social Security Administration for complete details regarding eligibility for benefits.

Securities products and advisory services offered through Park Avenue Securities LLC (PAS), a registered broker-dealer and investment adviser.

PAS is a wholly owned subsidiary of Guardian and a member FINRASIPC

Annuity guarantees are backed exclusively by the strength and claims paying ability of the issuing insurance company.

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