Annuities just like any other thing have their own two sides too. There is the good side and also there the unpleasant side also. Whatever has an advantage will also have a disadvantage, and fixed annuities are not left aside in this too. Fixed annuities also have their pros and cons and depending on the perspective at which the whole thing is considered, the pros can sometimes be better than the cons. It all depends on the issues that are being put into perspective about the fixed annuities before you can satisfactorily make a decision on what to do or not to do. It may sometimes be difficult to consider fixed annuities pros and cons absolutely because of the different needs and dispositions of different people. What may be considered as an advantage to one person maybe a disadvantage to the other person hence, it may be difficult to make categorical statements one fixed annuities pros and cons as it has to do with everybody. It is important that everybody should make their own assessments based on their own situation before coming to the conclusion of what is a disadvantage or an advantage to them. One of such advantages about fixed annuities is that one can be very sure of regular guaranteed interest rate payments. This makes it very appealing especially to investors who are normally scared of stock market ups and downs. Though the interest payments may be low but the fact that they are guaranteed makes people to be quite comfortable with them. But this is for people who are rather conservative in their investment approach and risk averse individuals. For people who are aggressive in their investments and risk tolerant individuals this may not be an advantage but a disadvantage. That is why it was earlier mentioned that fixed annuities pros and cons is rather a relative term than an absolute one. Another thing people consider as an advantage in fixed annuities is the low minimum start up capital that is required to buy them. This makes it easy for even low income earners to invest in annuities. But the fact that the minimum start up investment capital is low does not really make it attractive to some particular type of people especially investors who think that for an investment to yield viable returns the capital amount involved has to be above average. Fixed annuities pros and cons will certainly be viewed differently by different people. Sometimes tax incentives can lure or attract people to get involved in something they know will give them the opportunity to enjoy a tax incentive or rebate. Fixed annuities pros and cons can also be considered in this light differently by different people. In fixed annuities, interest rate payments are not tax deductible until when withdrawn. This is a good incentive for an investor, but for the government it may not be an encouraging thing that should be considered as an advantage except that the laws have made it to be and it cannot be tempered with easily.