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…
Split Annuity
A split annuity is a strategy and not an actual annuity. While a split annuity is a combination of two annuities, it by itself is not an annuity. That may sound like a bit of double speak until you understand its components. The first component is a single premium immediate annuity that pays the owner of the split annuity an immediate monthly income. This is the income portion of a split annuity.Read More…
Annuity Information
Annuities come in all sorts of shapes, sizes, types and classifications. Depending on where you have the assets invested when your payments begin, and method of premium payment, annuities have various benefits. For instance, fixed annuities assure a specified rate of interest for a certain period of time, while variable annuities offer a greater opportunity for growth, but then, the risk involved is also high. More Annuity Information…
Annuity Definition
Annuity definition, in relative terms, comes from the field of finance theory. Since all financial transactions are theoretical in nature until they actually happen this makes sense. Whether or not the transaction is profitable or successful is not part of this discussion. Read More…
Variable Annuity
A variable annuity is an annuity in the truest definition of annuity. The particular make-up of a variable annuity is what sets it apart from other annuities. 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…
How To Compare Annuities
Annuities come in three flavors, fixed, variable and index. With a fixed annuity, the insurance company guarantees the rate of return at the time you purchase your annuity. A fixed annuity also grows at a secure rate for as long as you own the contract. The interest paid is tax deferred meaning you don’t have to declare it on your yearly tax return. Read More…
Annuities Explained
Annuities are sometimes difficult to understand especially if you are not a finance oriented person. Hence, the simple explanation of annuities is that they are term deposits with insurance companies. The industry started with two types of annuities, fixed and variable then added an index annuity. The nice thing about all three types is they have a lot in common so it makes them easier to understand. Read More…
Equity Annuities
For all practical purposes, equity annuities are the new annuity on the block. Just ten years ago the closest a person could come to this type of product was a variable annuity. Today, almost every insurance company offers an equity-indexed annuity product. 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…