Sentences with phrase «begins as an annuity»

This product begins as an annuity with either a lump sum single premium deposit.

Not exact matches

The vertically integrated media / cable / telco giants are watching — with clenched corporate jaws — as previously bulletproof annuities, like landline and cable subscriptions, have begun to show signs of vulnerability.

Immediate annuities will begin paying a stream of income immediately upon issuance for either a set period of time or as long as the annuitant or annuitants are living.

However, income annuities (sometimes referred to as «immediate annuities» or «deferred income annuities,» depending on when income payments begin) do offer a predictable guaranteed stream of income that you can't outlive.

Then, as the portfolio begins to shrink in the later retirement years, the longevity annuity would kick in to provide a new stream of monthly payouts.

As you begin looking into annuities, make sure you take some time to understand the most commonly used terms.

A 65 - year - old man who invests $ 30,000 in a longevity annuity today that begins making payments 15 years from now would receive roughly $ 675 a month at age 80 that would continue for the rest of his life; a 65 - year - old woman would receive about $ 575 a month starting at 80; and, a 65 - year - old couple would collect about $ 465 a month beginning at age 80 for as long as either remained alive.

In the annuity calculator, simply put in the amount of money you wish to invest in a longevity annuity and select the start date as the month and date when you turn 80 — or whichever future date you wish the monthly annuity payments to begin.

As with any deferred annuity, the money in your longevity annuity grows until you begin receiving payout funds from it.

In practice, I would be hesitant to purchase an annuity right now, but more inclined to consider annuities as interest rates begin to normalize.

Since the payments don't start for many years — and some buyers will die before they begin collecting payments or shortly after — longevity annuities don't require you to pony up as much money upfront to lock in a sizable income stream down the road.

The new regs allow you to buy a longevity annuity within a 401 (k) or IRA without violating minimum distribution requirements, as long as you begin receiving payments by age 85 and invest no more than $ 125,000 or 25 % of your account value, whichever is less.

There are many kinds of annuities out there, but there are two types that I think make the most sense for retirees looking to convert a bit of savings into a lifetime income stream: immediate annuities, which as their name implies, begin making payments immediately; and longevity annuities, which start making payments in the future, sometimes 10 or 20 years down the road.

When I began working as an advisor, almost two decades ago, I was trained that annuities were horrible retirement vehicles sold by seedy salesmen with little regard for...

Immediate annuities will begin paying a stream of income immediately upon issuance for either a set period of time or as long as the annuitant or annuitants are living.

The chart above shows when you can retire and begin receiving CSRS benefits as an immediate annuity.

With an immediate annuity, you turn over a lump sum to an insurer in return for monthly payment that begin immediately and will continue for as long as you live.

The FERS annuity supplement is computed as if you were age 62 and fully insured for a social security benefit when the supplement begins.

In return for investing a lump sum (or premium, as it's known in annuity - speak) with an insurance company, you receive payments that begin at once and continue for life.

However, in an annuity plan, the risk lies with the policyholder as he or she pays the purchase price without knowing whether or not they will survive till the time the annuity period begins.

The annuity payouts begin immediately after payment of a single lump sum amount (known as the purchase price).

A benefit term that guarantees that the beneficiary, as named in the contract, will receive a death benefit if the annuitant dies before the annuity begins paying benefits.

In 1969, AAA Life Insurance Company became a part of AAA — and in turn, began offering competitive life insurance products, as well as retirement annuities.

Immediate annuities are sometimes referred to as single premium immediate annuities, because you make the upfront investment (the «premium», in insurance terminology), and then begin receiving benefits (income payments).

You invest money in the annuity plan, and it begins making income payments to you as early as the following month.

This company began as Aetna Insurance Company as an annuity fund, with the purpose of selling life insurance back in 1850.

However, many people who have already retired and need annuity income right away opt for immediate annuities, which skip the accumulation phase and begin to issue payments as soon as you invest in the contract.

As an example, an investor who puts $ 100,000 into a single premium immediate annuity (SPIA) at age 65 would begin receiving monthly payments of $ 478.91 that year; the same investor who put money into a longevity annuity at 65 but began receiving payments at age 75 would receive $ 934.18, a 95 % increase, and $ 2,656.20 if delayed until age 85, a 455 % increase, according to annuity quotes cited by Mr. Kitces.

Annuities began, as did permanent life insurance, with a simple and clear contractually guaranteed rate of return based upon the insurance company's general account.

The annuity begins after a time period as specified by the policyholder in the annuity contract.

An immediate annuity plan is a kind of annuity plan where the policyholder begins receiving the annuity as soon as the purchase price is paid.

Immediate Annuity Pension Plan — A lump sum is paid as a one - time premium and the annuity begins almost immediately and continues for the policy term or throughout the insured's life.

In an immediate annuity plan, the annuity phase begins as soon as the purchase price is paid.

Then, opt for the annuity to begin immediately as after your VRS, your monthly income must have stopped.

Guaranteed Death Benefit If you die before your annuity begins paying out benefits, your beneficiary, as named in the contract, will receive a death benefit.