Sentences with phrase «immediate annuity guarantees»

Period certain annuity — This type of immediate annuity guarantees that the contract pays out for a certain period of time.

Assuming you withdraw $ 565 each month — the same amount the immediate annuity guarantees for life — your $ 100,000 would last just under 18 years.

Not exact matches

In their simplest form, annuities guarantee an income stream for buyers either now (immediate annuities) or beginning at a later date (deferred annuities).

The premise behind an immediate annuity is simple: You invest a lump sum of money with an insurance company (although you would actually do so through an adviser, a broker or insurance agent) and in return you receive a guaranteed monthly payment for life regardless of how the financial markets perform.

Fortunately, the type of annuity you're asking about — an immediate annuity — is (by annuity standards at least) the easiest to understand and, to my mind the type with the greatest potential for helping people who want more guaranteed lifetime income than Social Security alone will provide.

While Wink currently reports on indexed annuity, fixed annuity, and multi-year guaranteed annuity product sales, the firm looks forward to reporting on immediate annuity and variable annuity product sales in the future.

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.

An immediate annuity is when the client gives a lump sum of money to the insurance company & the insurer guarantees a monthly income as long as the client lives.

And to see how much lifetime income an immediate annuity might provide, you can go to the How Much Guaranteed Income Can You Get?

But what really differentiates an immediate annuity from the example above is that no group of people pooling their assets can guarantee that they'll receive a scheduled payment as long as they live.

Similarly, if your nest egg is large enough so that your chances of running through it in your lifetime are very low or negligible, then you also may not need any type of guaranteed income beyond Social Security, in which case you simply may not have to devote any of your assets to a longevity annuity or an immediate annuity.

Like an immediate annuity, a longevity annuity provides guaranteed income for life, except that while you invest your money now, the payments don't begin until later, typically much later, say, 10 to 20 years in the future.

For example, instead of fleeing stocks altogether or shifting your asset mix more toward bonds and cash, you might also consider putting some, but not all, of your nest egg into an immediate annuity that will provide a guaranteed payout for life.

If you want the guaranteed income to begin soon — say, to pay for essential living expenses beyond what income from Social Security alone will cover — then an immediate annuity would be a better way to go (although you may still want to hold off a bit to get a better handle on what your actual expenses will be after you retire).

With an immediate annuity, you hand over a sum of money to an insurer in return for guaranteed monthly payments that start at once and continue for the rest of your life.

Well, when you invest a portion of your savings in an immediate annuity, you are converting assets into monthly income guaranteed to last as long as you live.

If the amount of guaranteed income you'll receive from Social Security and any pensions is enough to cover all or most of your basic living expenses in retirement, then you may not need an immediate annuity.

But if you feel you want more guaranteed income than you'll collect from Social Security and any pensions — and you're willing to take these prudent steps to ensure you're getting a competitive payout and that you can truly rely on the annuity's promise of income for life — an immediate annuity is at least worth considering.

And whether you purchase a fixed or variable immediate annuity, you're guaranteed to receive payments for life if you elected that payout option, no matter how long you live.

When you sign an immediate life annuity, the insurance company guarantees a certain payment over your lifetime.

With an immediate annuity, you can choose a guaranteed return of premium payout option that will ensure the payments will continue to a beneficiary.

If you go to an immediate annuity calculator, you'll find that at today's interest rates forking over $ 100,000 to an insurer for an immediate annuity would provide guaranteed lifetime payments of about $ 540 a month for a man that age.

The upshot, though, is that unless you're willing to take on more investing risk — which also means accepting the possibility of running through your money while you're still alive — it's very unlikely that you can match an immediate annuity's guarantee of lifetime payments, which includes that extra bit of income that mortality credits provide.

But if you've rejected an immediate annuity because you think you can generate the same level of guaranteed lifetime income investing on your own, I have two little words for you: mortality credits.

You can use some of your savings to purchase an immediate fixed annuity to provide guaranteed income.

The tax benefits of tax deferral requires some time to realize a benefit and thus would present a greater benefit (in terms of suitability) whereas immediate annuities offer a steady guaranteed income for older individuals for retirement.

When you buy an immediate annuity, you're essentially buying an insurer's promise to provide you with guaranteed income for life.

There are several fail - safe riders that can be attached to an immediate annuity account that guarantee the insurance company will pay back all deposited principal and earned interest during the insureds lifetime or that of their chosen beneficiary.

Life only annuity — This option ensures that the immediate annuity will provide guaranteed income over the lifetime of an individual.

Or you might consider devoting a portion of your savings to an immediate annuity, a type of investment that can provide guaranteed monthly payments for as long as you live.

So, for example, a 65 - year - old man who invests $ 100,000 in an immediate annuity today might receive a payment of $ 555 a month guaranteed for life.

An immediate fixed annuity earns a guaranteed rate of return and immediately pays a regular income for the duration specified in the contract.

A longevity annuity works much like an immediate annuity in that you turn over a portion of your savings to an insurer for the guarantee of lifetime monthly payments.

But for anyone who's retired or approaching retirement looking to turn a portion of their nest egg into guaranteed lifetime income, I believe the choice comes down to two types: an immediate annuity or a longevity annuity.

Our product offerings include longevity annuities (including the QLAC), immediate annuities, and multi-year (fixed rate) guaranteed annuities.

Just like the guaranteed death benefit, the living benefit rider causes the variable annuity to morph into a different type of investment or what is commonly referred to as an immediate annuity.

If you're really worried that you might run through your savings while you've still got a lot of living to do, you could also think about converting a portion of your nest egg to a guaranteed lifetime income stream via an immediate annuity or a longevity annuity.

Deferred and immediate annuities offer the ability to gain a guaranteed income stream for life (based upon life expectancy).

The Income Escalator option guarantees that the immediate annuity payments you receive will increase by 3 % every year.

And if you decide that you would like more guaranteed lifetime income than Social Security alone will provide, you can always consider converting a portion of your nest egg to an immediate annuity in return for lifetime monthly payments.

A 65 - old - man who invests $ 100,000 of his savings in an immediate annuity today would receive guaranteed payments of about $ 545 a month for life, a 65 - year - old woman would get about $ 510 a month and a 65 - year - 0ld couple (man and woman) would receive $ 450 a month, a payment that would continue as long as either one was alive.

At first glance, I'd say you probably don't need to put any of your savings into an immediate annuity, a type of investment that converts a lump sum into guaranteed monthly payments for life.

You hand over a lump sum to an insurer and begin receiving guaranteed monthly payments for the rest of your life immediately with an immediate annuity or, in the case of a longevity annuity, payments that start at later time, say, 10 or 15 years after you retire.

Investing a portion of your assets in an immediate annuity can provide additional guaranteed lifetime income, giving you more flexibility for making withdrawals from savings.

A longevity annuity is similar to an immediate annuity in that you hand over a portion of your savings to an insurer for the guarantee of lifetime monthly payments, but there's an important difference: even though you invest your money now, a longevity annuity doesn't begin making payments until later, often 10, 15 or even 20 years in the future.

Among the issues you'll need to consider as you create an income plan: How much you'll receive from Social Security and whether you should you consider delaying claiming your Social Security benefit to boost the size of your check; how much of your nest egg's value can you withdraw each year without incurring too big a risk of running out of money before you run out of time; and whether you should devote a portion of your savings to an immediate annuity or a longevity annuity, so you'll have a another source of guaranteed lifetime income in addition to Social Security.

In return for the guarantee of lifetime income you also typically give up access to your principal, which means you would no longer be able to dip into the money you invest in an immediate annuity for emergencies and such.

You could buy an immediate annuity with that hundred grand and today you would receive about $ 545 a month guaranteed for life.

If you feel you'd like more guaranteed lifetime income than you'll already receive from Social Security and any pensions, you could put a portion of your savings into an immediate annuity.

Single premium immediate, deferred income, multi-year guarantee, qualified longevity, variable, fixed index, and many other types make up the diverse and customized world of annuities.