Investor Glossary-deferred annuityInvestor Glossary-deferred annuityInvestor Glossary-deferred annuityInvestor Glossary-deferred annuityInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Deferred Annuity

The HTML to link to this page
 

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 These earnings of the deferred annuity are only taxed when withdrawn, but early withdrawals may very well be penalized in some way.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...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: labor relations, balance sheet, VIX, implied volatility, current ratio, reverse mortgage, risk management, minority interest, option premium, inflation, EBITDA, average price per share, ex-dividend date, annual return, 144a, wholly-owned subsidiary, irrevocable trust, Key Rate Duration, APR, stock split, debt service coverage, deferred tax, 1031 exchange, LIBOR, real GDP, Zero Cost Collar, liquidity ratio, 1035 exchange, FTSE, phantom income, covered put, in escrow, stock market close, per diem, margin rate, open position, quality assurance, dividends payable, deferred revenue, required rate of return, FICO score, retained earnings, diluted share, 401a, class C shares, ex-dividend, command economy, limit order, cancelled check


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use