Co-Founder, TermInsuranceBrokers.com, Goldenzweig Financial Group, Las Vegas, Nevada
When you select a period certain payout option for a fixed annuity, the monthly payments will cease when the selected term period expires. For example, if you selected a 20 year period certain fixed annuity, your monthly payment would stop after 20 years.
You are given a number of options when you first create your annuity - one being how long you want the payments for (a specified period of time, or continue on for life). The shorter the payout period, the higher the payment. If you want it to payout for the rest of your life, the monthly payment would be lower.
It's important to review your options with an experienced insurance broker (I would recommend one with a background in estate planning to be most beneficial) when purchasing an annuity as each company may offer a different rate so some companies may offer you a higher monthly payment than others for the same purchasing price.
I hope the information is helpful - please feel free to contact me for assistance with your annuity program and if you have any other questions. Thanks very much.
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You are given a number of options when you first create your annuity - one being how long you want the payments for (a specified period of time, or continue on for life). The shorter the payout period, the higher the payment. If you want it to payout for the rest of your life, the monthly payment would be lower.
It's important to review your options with an experienced insurance broker (I would recommend one with a background in estate planning to be most beneficial) when purchasing an annuity as each company may offer a different rate so some companies may offer you a higher monthly payment than others for the same purchasing price.
I hope the information is helpful - please feel free to contact me for assistance with your annuity program and if you have any other questions. Thanks very much.