- Find out how much income you can get from a life annuity with our annuity calculator.
Have you ever wondered if there is a worry-free way to meet your retirement income needs?
What is a payout annuity?
A payout annuity is a simple way to convert your savings into regular income payments. It can provide a great way to meet retirement income needs.
How does a payout annuity work?
You buy a payout annuity from an insurance company, which calculates your monthly payment based on:
- the amount of savings you are converting,
- long-term interest rates, and
- the life expectancy of a person your age.
You can then sit back and enjoy the financial security that comes with knowing you will be receiving regular monthly payments.
What type of payout annuities can you buy?
- Term certain annuities provide a set number of payments.
- Life annuities provide payments for as long as you live.
- Joint provide payments provide payments for as long as either you or your spouse live.
Why would I want a payout annuity?
A payout annuity is helpful if:
- you want guaranteed income to pay ongoing fixed expenses,
- you don't want to make any more investment decisions or
- you want to avoid the risk of outliving your money.