This weekend I visited my family back in Cincinnati and got to meet my Dadâs new iPad for the first time. I donât have enough money for this fancy technology so Iâve never really used an iPad before.
Deferred Annuities. A deferred annuity grows tax deferred until the contract is annuitized (put into a payment stream) or surrendered (paid out as a lump sum). This type of annuity is a vehicle for accumulating savings for a future goal, such as retirement, and eventually distributing the value.
There are two phases for a deferred annuity: 1  the accumulation or deferral phase in which the customer deposits (or pays premiums) and accumulates money into an account; 2  the distribution or annuitization phase in which the insurance company makes income payments until the death of the annuitants named in the contract.