Do I need an annuity?

Not necessarily. An annuity can make sense if you're worried about outliving your money and want a guaranteed income stream you can't outlast. But they can be complex and carry higher fees, and many people meet their needs with Social Security, a pension, and a well-managed portfolio. They tend to fit best for those who lack other steady income and value certainty over growth. It's worth weighing the costs carefully before committing.