What types of annuities does New York Life offer?


Quick Answer

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.

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Full Answer

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.

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