New York Life offers fixed deferred annuities as well as guaranteed income annuities, according to its website. Fixed deferred annuities allow a person to build up a retirement fund that earns interest over the years then, at the time of retirement, the customer withdraws the money. A guaranteed income annuity generates a stream of income with regular payouts that the retiree receives for the rest of his life.
A fixed deferred annuity earns a guaranteed, fixed amount of interest for a selected period of time, says New York Life. The customer invests into the fund by making a one-time lump-sum payment before or after retirement. The earnings are non-taxable until the time of withdrawal. There is an option to convert the fund to a guaranteed income annuity.
A guaranteed income annuity provides retirement income that is similar to a pension, explains New York Life. It is not subject to market fluctuations and offers a guaranteed lifelong income for the retiree. The customer is able to invest money into the annuity before or after retirement, and can invest in a lump sum or with a series of payments. The customer may opt to receive payouts right away or wait as long as 40 years.