An annuity is a contract between you and an insurance company that requires the insurer to make payments to you, either immediately or in the future. You buy an annuity by making either a single payment or a series of payments. The payout may come either as one lump-sum payment or as a series of payments over time.
Questions tagged [annuity]
133 questions
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Why would a life-insurance company agree to a 20-year guaranteed life annuity which is expected to pay out more than the principal?
I'm working through a paper on lifetime annuties, and in the paper, the following example is presented:
With an initial purchase of $100,000, and a guarantee period of 20 years, an 80 year-old female would receive an estimated monthly payment of…
Andrew Harris
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Can someone explain the different kinds of annuities?
So in my retirement and personal investing I have some stocks (very little), a Roth IRA, a Roth 401K and a Traditional 401K (later two are from work and I split things right now).
At my age and research I don't run across a lot of annuity type of…
Valien
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devastated with our retirement money that we have left
I am 48 and my husband is 54. We have approximately $60,000 left in our retirement accounts. We want to move our money into something so that it will grow. We've been looking at annuities. We've talked to four different advisers about what is best…
Debra Parker
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Is it worth having a pension?
I know this could be a duplicate of other questions here, but I think I have a different take on it which may be of interest to others in a similar frame of mind.
Some background
I'm self-employed and based in the UK, and every time I've looked at a…
Gary
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Annuity money is not insured?
I am thinking of buying an annuity. I am worried about the following words on the contract. Is it the standard way of an annuity? If something goes wrong, will I lose ALL my money? I am in the USA.
Athene Agility [GEN (09/15) NB, IR (06/18), EIBR…
peterB
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Why buy an annuity contract when you have money to spend?
If a person has $100K to spend for retirement, why buy an annuity contract that pays a fixed income like $600 per month when the person can just take out $600 per month from the $100K to spend?
HelloDarkWorld
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How does the lender benefit from offering a Reverse Mortgage?
It is always a good idea before entering into any financial arrangement to understand what benefit the person on the other side of the deal is getting to fully understand whether the deal is equitable to both parties.
So today I'm trying to…
JohnFx
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Should I include retirement funds in calculating my asset allocation?
When calculating my asset allocation for applying allocation guidelines, should I include my retirement funding or not?
You see, my investments have an asset allocation. But then, so do my retirement savings (defined-contribution pension fund and a…
Grinance
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Has anyone created a documentary about folks who fail to save enough for retirement?
In this question, the OP suspects that she simply needs to select the right annuity to solve her money problems.
And in her defense, many financial institution commercials try to convince soon-to-be retirees that financial stability in retirement…
Jim G.
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Why would a life insurance exclude suicide for the first two years of policy duration only?
I'm currently reading terms for life insurance with survival benefit and investment. It's like you pay ten thousand USD each year and five years later you get back forty thousand USD (the four payments you made) and maybe some investment income.…
sharptooth
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Rate of return on an Life Insurance Annuity
So as I approach retirement age, many people are out there suggesting annuities as a way to fund retirement. It's seductive, as they typically have around a 6% payout, that is 100K buys you 6k worth of income for the rest of your life.
However,…
Pete B.
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Second opinion on investments
I'm working with a finance professional to receive guidance on investing and retirement planning for down the road. We like the individual that we are working with but he/she is compensated via sales/commission.
When reviewing suggested investment…
skimobear
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How to evaluate an annuity
My mother wants to gift annuities for me and each of my siblings. Great...uh, maybe.
I'm concerned that she may be purchasing some expensive crappy investment she doesn't need to achieve what she wants to achieve.
She says, "I will be buying you a…
Cory
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Advice for opening an IRA as a newbie
Total IRA newbies!
My wife and I each need to open an IRA before mid April to count for tax year 2016. I need to do this to offset some income I took from an inherited IRA. But I've never opened an IRA myself before, and don't know where to…
Manbatton
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Pensions, annuities, and "retirement"
I already knew about pensions, but I’ve just heard of annuities today. The DifferenceBetween.net article “Difference Between Annuity and Pension” says,
A difference that can be seen between pension and annuity is in the payment amount. The pension…
user20748