Immediate Annuity

This annuity provides payment without any delays.

You can purchase an immediate annuity from an insurance company. This is going to give you a certain amount of money paid to you over an agreed amount of time.

You get different amounts of monthly income based on the insurance company's calculations. There are fixed, inflation-indexed and variable annuities. The term is based on life only, joint life and a certain term.

You need to consider certain aspects of your life when you look at an immediate annuity. Are you concerned about inflation? If so then you may opt for a lower payment now but one that will increase as inflation goes up.

Another choice is an annuity that is a guaranteed amount or you can look at one that ties into the stock market and how it fluctuates.

Meet with your accountant and your financial advisor to determine what is the best immediate annuity for you.

There are some interesting choices with annuities for leaving funds for charities. Ask the questions and get the answers you are looking for. Take control of any insurance product you use.