Income Annuity
An income annuity is exactly what its name describes. These annuities turn some, or all, of your savings into a payment stream. The payment stream is almost always a monthly check. Obviously the amount you put in and how long you want the payments to last dictates the size of the monthly payments. Read More…
Deferred annuities are annuity contracts that delay payments of income, installments or a lump sum until the individual elects to receive them. Hence, the title deferred annuities. One of the many advantages of tax deferred annuities is the tax bracket you’re in when you start receiving the income payments. Read More…
Single Premium Annuities
To make sure things are truly simple a single premium is an easy concept to comprehend. It means you pay the insurance company one time and have a contract for life. You can either start receiving payments immediately or defer your income for a number of years in the future. Read More…
Fixed Annuities
Fixed annuities are insurance contracts in which the insurance company makes fixed dollar payments to the annuitant for the term of the contract. The annuitant is the person receiving the payment and the term is usually until the annuitant dies. Read More…
Annuity Products
Annuity products are regulated by three levels of government. The federal government regulates variable annuities through the Securities and Exchange Commission and the Financial Industry Regulatory Authority, Inc. The state governments regulate annuities through their respective Insurance Department. All annuities have to comply with the Internal Revenue Code. Read More…
Annuity Calculation
Most people don’t consider regular deposits to a savings account or monthly home mortgage payments as being annuities, but they are because of the basic definition of annuity. Read More…
No matter the number, i.e. 5%, 6%, 7% or whatever, the contract dictates how the money will be applied to the contract. Because interest rates change over time, the insurance company will guarantee their rates for only a specific period of time. Read More…
Variable annuities can offer a range of investment options. The value variable annuity can vary greatly depending on the performance of the investment options you chose. Typically there are three investment options available for variable annuities. Read more…
An annuity is a financial contract between a financial institution, which is almost always an insurance company, and an annuitant or as sometimes called, a buyer. The insurance company is referred to as an issuer. Payments into an annuity contract can be structured in two ways. The first is by a lump sum money purchase as it is called. The second method is called the periodic payment method. Read More…
The term “life annuity” actually refers to the payment time frame which the annuitant will receive his or her annuity amount. It is technically not a type of annuity. By saying life annuity, a person knows they will receive their annuity amounts for their life time. Read More…