   
|
|
Deferred Annuity
|
| FYI - For 2011, Dow up, Dogs of the Dow up more (double digits) |
| |
A deferred annuity is a contract that delays annuity payments, unlike a regular annuity, until a certain period of time which has been selected by the investor. A deferred annuity typically has two main stages. The first stage of a deferred annuity is an accumulation stage, where the investor puts money into the account. The second stage is the income stage, which occurs after the specified date chosen by the investor. During this stage of the deferred annuity, the plan is converted so that payments are received. A deferred annuity may be either fixed or variable in terms of its payments. These earnings of the deferred annuity are only taxed when withdrawn, but early withdrawals may very well be penalized in some way. A deferred annuity is generally used as a way to create income for retirement.
Rate this deferred annuity definition...
|
|
Where is the market headed? The answer may surprise you. Find out
right now with the exclusive & Barron's recommended charts of Chart of the Day.
|
Popular Terms: inflation, FICO score, EBITDA, labor relations, option premium, 1035 exchange, 144a, deferred revenue, limit order, balance sheet, ex-dividend date, dividends payable, command economy, current ratio, phantom income, required rate of return, average price per share, real GDP, FTSE, stock split, deferred tax, diluted share, margin rate, class C shares, debt service coverage, minority interest, open position, annual return, ex-dividend, 401a, risk management, reverse mortgage, covered put, in escrow, LIBOR, implied volatility, wholly-owned subsidiary, irrevocable trust, quality assurance, stock market close, liquidity ratio, cancelled check, 1031 exchange, APR, Key Rate Duration, Zero Cost Collar, per diem, retained earnings, VIX
|
|
| |