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The present value annuity formula is used to simplify the calculation of the current value of an annuity. A table is used where you find the actual dollar amount of the annuity and then this amount is multiplied by a value to get the future value of that same annuity.
The four pieces to an annuity present value are: Present value(PV), Cashflow (C), Discount rate (r) and the life of the annuity (t)
Annuity Unit is fixed sum payable to the Annuitant under the options offered and chosen by him.
One can find information on annuity calculators by going to the place that provides them. Examples of places that provide annuity calculators would be Bankrate, Aviva and LifeAnnuities.
It is as safe as AIG is. No fixed annuity has ever lost any money, but bottom line, AIG backs the fixed annuity
difference between an annuity and a compound annuity?Read more: What_is_the_primary_difference_between_an_annuity_and_a_compound_annuity
If the annuity is a non qualified tax deferred annuity (an annuity that taxes were paid on the money before they were placed into the annuity) you will pay taxes on any interest growth when it is removed from the annuity. If the annuity is a qualified annuity (no taxes were paid prior to placing the fund into the annuity) you will pay taxes on all withdrawals from the annuity.
ordinary annuity
The option to get annuity every month is called monthly annuity.
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A period certain annuity guarantees payments for a specific period, such as 10 or 20 years, regardless of the annuitant's lifespan. A life annuity provides payments for the lifetime of the annuitant, ensuring income for as long as they live but ceasing upon their death.
ordinary annuity we paid at the end of the period annuity due we paid at the begging of the period
ordinary annuity we paid at the end of the period annuity due we paid at the begging of the period
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Your annuity policy document should have all the withdrawal provision detailed for you. If not contact the company you have the annuity with and they can give you instructions. Before you withdraw from an annuity be aware of the tax treatment of your annuity withdrawals.