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- PremiumsAnnuity payments are called premiums123. An annuity can be either an immediate annuity or a deferred annuity45. If your payments begin within a year of your purchase, it’s called an immediate annuity. If you’d like to wait a year or longer to start receiving payments, it’s called a deferred annuity4. Most annuities have two phases: accumulation phase and distribution phase2. A life annuity is a financial product that features a predetermined periodic payout amount until the death of the annuitant3.Learn more:✕This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.When you buy an annuity, you do so with a payment called a premium. In a deferred annuity, the insurer invests the premium in the markets during an accumulation phase, which is followed by the annuitization phase, when you start receiving payments.www.britannica.com/money/what-is-annuity
Most annuities have two phases:
www.usatoday.com/money/blueprint/investing/wha…A life annuity is a financial product that features a predetermined periodic payout amount until the death of the annuitant. Annuitants pay premiums or make a lump-sum payment to secure a life annuity. Life annuities are commonly used to provide or supplement retirement income.www.investopedia.com/terms/l/lifeannuity.aspIf your payments begin within a year of your purchase, it’s called an immediate annuity. If you’d like to wait a year or longer to start receiving payments, it’s called a deferred annuity.www.forbes.com/advisor/retirement/what-is-an-ann…An annuity that begins paying out immediately is referred to as an immediate annuity, while one that starts at a predetermined date in the future is called a deferred annuity.www.investopedia.com/ask/answers/12/what-is-an … - People also ask
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