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Lets Talk Annuity - Investment - Nairaland

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Annuity Versus Programmed Withdrawal / Annuity Good Plan For Retirees / Annuity Plan (2) (3) (4)

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Lets Talk Annuity by femialade(m): 8:50am On Feb 16, 2015
What is Annuity?
A Life Annuity is a series of payment made to a person (called an Annuitant) for the rest of his life upon payment of the purchase price which is usually paid once.
Regular Income is paid to an Annuitant no matter how long he lives
Annuity purchased with Retirement Savings Account is payable firstly for ten (10) years and thereafter till the annuitant dies.

WHO SHOULD TAKE UP AN ANNUITY PLAN?
Every retiree/person who is yet to collect the proceed of his
Retirement Savings Account (RSA) or who has a bulk sum of money either from gratuity or otherwise.
Every retiree/person who desires to have a steady stream of income
for the rest of his life.

ANNUITY OPTIONS
Level Income: Income remains the same throughout the payment period.
Guaranteed Period: Lump sum is paid to the estate of the annuitant where he dies within the guaranteed period.
Spouse Annuity: A proportion of income (50% or 75%) will be paid to spouse for life upon annuitant’s death after payments begin.
Increasing Annuity: Income increases annually by a guaranteed % (e.g. 5% or 10%).

ADVANTAGES OF ANNUITY: WHY FEDERAL GOVERNMENT STRONGLY RECOMMENDS ANNUITY TO RETIREES
Security: Income is secure and not subject to market fluctuation.
Tax Deductibility: Premium paid and income is currently tax exempt.
Flexibility: Can be arranged to combine several options (e.g. increasing, spouse etc.)
Risk Transfer Mechanism: Risks associated with managing future income is transferred to the insurer.
Longevity Risk: There is no fear of lack of income no matter how long the Annuitant lives.
Re: Lets Talk Annuity by UrennaNkoli(f): 9:45am On Feb 16, 2015
Good
Re: Lets Talk Annuity by femialade(m): 10:08am On Feb 16, 2015
If there is anything about Annuity you don't understand, you can share it here and let's discuss.
Re: Lets Talk Annuity by femialade(m): 4:56pm On Feb 23, 2015
Personal (Immediate) Annuity Plan product is
designed to help with the cost of retirement by providing a
guaranteed income for the rest of your life.
Re: Lets Talk Annuity by femialade(m): 11:44am On Mar 13, 2015
femialade:
Personal (Immediate) Annuity Plan product is
designed to help with the cost of retirement by providing a
guaranteed income for the rest of your life.
Re: Lets Talk Annuity by femialade(m): 10:43am On Mar 28, 2015
femialade:
What is Annuity?
A Life Annuity is a series of payment made to a person (called an Annuitant) for the rest of his life upon payment of the purchase price which is usually paid once.
Regular Income is paid to an Annuitant no matter how long he lives
Annuity purchased with Retirement Savings Account is payable firstly for ten (10) years and thereafter till the annuitant dies.

WHO SHOULD TAKE UP AN ANNUITY PLAN?
Every retiree/person who is yet to collect the proceed of his
Retirement Savings Account (RSA) or who has a bulk sum of money either from gratuity or otherwise.
Every retiree/person who desires to have a steady stream of income
for the rest of his life.

ANNUITY OPTIONS
Level Income: Income remains the same throughout the payment period.
Guaranteed Period: Lump sum is paid to the estate of the annuitant where he dies within the guaranteed period.
Spouse Annuity: A proportion of income (50% or 75%) will be paid to spouse for life upon annuitant’s death after payments begin.
Increasing Annuity: Income increases annually by a guaranteed % (e.g. 5% or 10%).

ADVANTAGES OF ANNUITY: WHY FEDERAL GOVERNMENT STRONGLY RECOMMENDS ANNUITY TO RETIREES
Security: Income is secure and not subject to market fluctuation.
Tax Deductibility: Premium paid and income is currently tax exempt.
Flexibility: Can be arranged to combine several options (e.g. increasing, spouse etc.)
Risk Transfer Mechanism: Risks associated with managing future income is transferred to the insurer.
Longevity Risk: There is no fear of lack of income no matter how long the Annuitant lives.
Re: Lets Talk Annuity by moshoodn(m): 9:53pm On Apr 05, 2015
Only for retirees?
Re: Lets Talk Annuity by femialade(m): 8:22am On Apr 06, 2015
moshoodn:
Only for retirees?
Yes its for retirees alone.
Re: Lets Talk Annuity by femialade(m): 8:39am On Apr 23, 2015
Annuity pays for life.
Re: Lets Talk Annuity by femialade(m): 12:16am On May 22, 2015
Save yourself from PFA trouble after retirement. Change to Annuity today and be free from the fear of running out of pention payment.
Re: Lets Talk Annuity by femialade(m): 7:57am On Jan 08, 2016
femialade:
Save yourself from PFA trouble after retirement. Change to Annuity today and be free from the fear of running out of pention payment.
Re: Lets Talk Annuity by femialade(m): 8:06am On Jan 08, 2016
femialade:
What is Annuity?
A Life Annuity is a series of payment made to a person (called an Annuitant) for the rest of his life upon payment of the purchase price which is usually paid once.
Regular Income is paid to an Annuitant no matter how long he lives
Annuity purchased with Retirement Savings Account is payable firstly for ten (10) years and thereafter till the annuitant dies.

WHO SHOULD TAKE UP AN ANNUITY PLAN?
Every retiree/person who is yet to collect the proceed of his
Retirement Savings Account (RSA) or who has a bulk sum of money either from gratuity or otherwise.
Every retiree/person who desires to have a steady stream of income
for the rest of his life.

ANNUITY OPTIONS
Level Income: Income remains the same throughout the payment period.
Guaranteed Period: Lump sum is paid to the estate of the annuitant where he dies within the guaranteed period.
Spouse Annuity: A proportion of income (50% or 75%) will be paid to spouse for life upon annuitant’s death after payments begin.
Increasing Annuity: Income increases annually by a guaranteed % (e.g. 5% or 10%).

ADVANTAGES OF ANNUITY: WHY FEDERAL GOVERNMENT STRONGLY RECOMMENDS ANNUITY TO RETIREES
Security: Income is secure and not subject to market fluctuation.
Tax Deductibility: Premium paid and income is currently tax exempt.
Flexibility: Can be arranged to combine several options (e.g. increasing, spouse etc.)
Risk Transfer Mechanism: Risks associated with managing future income is transferred to the insurer.
Longevity Risk: There is no fear of lack of income no matter how long the Annuitant lives.
Re: Lets Talk Annuity by Ikazuagbe(m): 9:34am On Jan 08, 2016
Is there any Annuity plan/product for a young working class person? One doesn't need to wait after retirement before embarking on these!

Kindly educate the house as par profitable/lucrative Annuity plan/product for the young working class.

If there is,how can one go about it?

Regards!

1 Like

Re: Lets Talk Annuity by femialade(m): 12:37am On Jan 09, 2016
Ikazuagbe:
Is there any Annuity plan/product for a young working class person? One doesn't need to wait after retirement before embarking on these!

Kindly educate the house as par profitable/lucrative Annuity plan/product for the young working class.

If there is,how can one go about it?

Regards!


DEFERRED ANNUITY PLAN (DAP)
A Policyholder contributes premium(s) that would be used to purchase life annuity, starting after a deferred period determined by the policy holder. This plan is aimed at saving towards retirement and ensuring a regular source of income after retirement, especially suited for self-employed persons or persons who want to augment the income from their company sponsored Retirement Savings Account(RSA)
ko
How it Works:

During the deferred period, it operates as a regular savings product with interest accrued on a daily basis. The credited rate shall be the Leadway Interest Rate + 1.5% (The Leadway rate is annually reviewable and is benchmarked to be 2% higher than the average savings rate of Nigerian Commercial Banks)
The account balance will thus be contributions received less cost of risk covers plus interest earned on savings.
The policy term (deferred period) chosen by the policyholder should reflect his expected retirement age, at which time the annuity will commence. At the end of deferred period- the product automatically converts to an Annuity with purchase value equivalent to accumulated value of contributions. The annuity rates will be based on the prevailing Annuity rates at maturity.
As an illustration, based on current rates, a purchase value of N3, 000, 000 can buy N29, 094 monthly, payable for life with zero year guarantee and N27, 473 monthly, payable for life with a 10 year guarantee for a life aged 60 at maturity.
Re: Lets Talk Annuity by femialade(m): 1:59pm On Jan 18, 2016
femialade:
What is Annuity?
A Life Annuity is a series of payment made to a person (called an Annuitant) for the rest of his life upon payment of the purchase price which is usually paid once.
Regular Income is paid to an Annuitant no matter how long he lives
Annuity purchased with Retirement Savings Account is payable firstly for ten (10) years and thereafter till the annuitant dies.

WHO SHOULD TAKE UP AN ANNUITY PLAN?
Every retiree/person who is yet to collect the proceed of his
Retirement Savings Account (RSA) or who has a bulk sum of money either from gratuity or otherwise.
Every retiree/person who desires to have a steady stream of income
for the rest of his life.

ANNUITY OPTIONS
Level Income: Income remains the same throughout the payment period.
Guaranteed Period: Lump sum is paid to the estate of the annuitant where he dies within the guaranteed period.
Spouse Annuity: A proportion of income (50% or 75%) will be paid to spouse for life upon annuitant’s death after payments begin.
Increasing Annuity: Income increases annually by a guaranteed % (e.g. 5% or 10%).

ADVANTAGES OF ANNUITY: WHY FEDERAL GOVERNMENT STRONGLY RECOMMENDS ANNUITY TO RETIREES
Security: Income is secure and not subject to market fluctuation.
Tax Deductibility: Premium paid and income is currently tax exempt.
Flexibility: Can be arranged to combine several options (e.g. increasing, spouse etc.)
Risk Transfer Mechanism: Risks associated with managing future income is transferred to the insurer.
Longevity Risk: There is no fear of lack of income no matter how long the Annuitant lives.
Re: Lets Talk Annuity by F00028: 11:07am On Feb 19, 2016
what's the catch?
Re: Lets Talk Annuity by femialade(m): 1:28pm On Feb 27, 2016
F00028:
what's the catch?
its a payment that will last for a retirees life span with no fear of exhausting his/her pension after few years
Re: Lets Talk Annuity by okitejoseph: 4:50pm On Sep 09, 2019
Annuity is mostly used to stoock up payments for reteired folks...

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