Deferred Annuity An annuity in which the annuitant does not begin to receive payments until some future date. A deferred annuity has two phases: a savings phase and an income phase. During the savings phase, the annuitant places money into the annuity, which invests it on behalf of the annui...
deferred annuity Also found in:Financial,Wikipedia. n (Insurance) an annuity that commences not less than one year after the final purchase premium. Compareimmediate annuity Collins English Dictionary – Complete and Unabridged, 12th Edition 2014 © HarperCollins Publishers 1991, 1994, 1998, 2000,...
annuity inFinance topic From Longman Dictionary of Contemporary Englishan‧nu‧i‧ty/əˈnjuːəti$əˈnuː-/noun(pluralannuities)[countable]afixedamountof money that is paid each year to someone, usually until theydieExamples from the Corpusannuity•Thefinalbreachgrewfrom Southey...
Discover the meaning of delayed annuity in finance, a valuable investment option that provides guaranteed income in the future.
Even a well-caffeinated person with an advanced degree in math would have a hard time deciphering a 53-page contract called “Your Flexible Premium Indexed and Declared Interest Deferred Annuity Policy.” FromNew York Times Word of the Day...
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annuity. Single-premium deferred annuity An insurance policy bought by the sponsor of a pension plan for a single premium. In return, the insurance company agrees to make lifelong payments to the employee (the policyholder) when that employee retires. ...
stream of income during retirement. Unlike other retirement accounts, such as 401(k)s or IRAs, qualifying annuities do not have contribution limits, allowing you to invest as much as you want. The money you invest in a qualifying annuity grows tax-deferred until you start receiving income ...
Deferred annuities often include adeath benefitcomponent. If the owner dies while the annuity is still in its accumulation (savings) phase, theirheirsmay receive some or all of the account's value. If the annuity has entered the payout (income) phase, however, the insurer may simply keep th...
Because a series of annuity due payments reflect a number of future cash inflows or outflows, the payer or recipient of the funds may wish to calculate the entire value of the annuity while factoring in thetime value of money. One can accomplish this by usingpresent valuecalculations. ...