Briefly introduce the annuity concept and its common forms. |
Annuities are not that complicated; they are an agreement between you and another party, where money is deposited and later returned in a series of payments. There are three common forms of annuities: 1.Public annuities, also known as social security. 2.Private annuities, which are pensions. 3.Then there are asset backed annuities, which is where you give your money to an insurance company, and they turn it into something that resembles Social Security or a pension. So, when you really think about it, annuities are what make our retirement system in this country run and function |
No math presented on this screen. |