What Is an Annuity? Definition, Types, and Tax Treatment What Is An Annuity? An annuity is a contract purchased from an insurance company with a large lump sum in return for regular payments, commonly used as an income source in retirement
What You Need to Know About Annuities - Morningstar An annuity is a contract with an insurance company With income annuities, you give them a pool of your money, and they send it back to you as a stream of income When it comes to annuities
What Is An Annuity? – Forbes Advisor An annuity is an insurance contract that exchanges present contributions for future income payments Sold by financial services companies, annuities can help reinforce your plan for retirement
What Is an Annuity? | Definition, Costs, Types, Pros, Cons Annuity Definition An annuity is a financial product designed to pay a stream of income in the future Insurance companies usually offer it to individuals eager to secure a steady cash flow after retirement Annuities are just one of the many financial products designed to offer income for retirees Other options include Individual Retirement Accounts (IRAs), 401 (k)s, pensions, and social