A Single-Premium Immediate Annuity (SPIA) from Assurity can provide a continuous stream of income that you cannot outlive, all from one lump-sum payment.
With flexibility and guaranteed features, the Single-Premium Immediate Annuity can provide an excellent method to fund retirement from an inheritance, the sale of assets, a legal settlement, or any other financial windfall.
After the initial premium payment, you can begin receiving a monthly income, starting just one month later, and continuing for the rest of your life or for a set period of years – guaranteed.
The funds you receive can be used for many situations, such as providing periodic income to fund tuition or to supplement a student’s living expenses, or to provide for an elderly parent, or to fund care for a dependent or disabled child.
Under the right circumstances, a properly structured SPIA can provide a source of income to beneficiaries after an annuitant’s death.
You can arrange for others to receive the monthly income should you purchase an annuity with a period certain and die before the end of the period.
Additionally, there are no health restrictions for the purchase of a SPIA.
The SPIA can be issued at ages 0 through 85.
The minimum acceptable single premium is the amount necessary to purchase at least $100 of monthly annuity benefit.
Under current tax law, a portion of each payment received from an immediate non-qualified annuity will be tax-free until your total premium is recovered.
The remainder of each payment will be taxable as ordinary income in the year received.
A SPIA may be the ideal solution to many long-term financial uncertainties, providing you with a lifelong, non-exhaustible income stream.
Payout Options
Life Only
Provides monthly income payments until the annuitant’s death.
Life with Years Certain
Provides monthly income payments, and thereafter until the annuitant’s death.
If the annuitant dies during the certain period, monthly payments are made to a beneficiary until the end of the period.
Fixed Period of Years
Provides monthly income payments for a fixed period.
No payments will be made beyond that period.
If the annuitant dies during the payment period, payments will be made to a beneficiary for the remainder of the period.
Fixed Amount
Provides fixed monthly income payments until the initial premium paid into the policy, plus any interest earned, is returned.
No further payments will be made when these funds are depleted.
If the annuitant dies during the payment period, payments will be made to a beneficiary until funds are depleted.
Joint with 100 Percent Last Survivor
Provides monthly income payments until the annuitant or the secondary annuitant dies.
After the first death of either one, the surviving annuitant will receive 100 percent of the initial monthly payment throughout the remainder of his/her lifetime.
No payments will be made after the death of both the annuitant and secondary annuitant.
Installment Refund
Provides monthly income payments for a certain period and thereafter until the annuitant’s death.
This option provides for the guaranteed return of principal because the certain period is equal to the account value used to fund the option divided by the monthly payment amount.
If the annuitant dies during the certain period, monthly payments are made to a beneficiary until the end of the certain period.
Pension-Alternative
If you’re seeking a pension-like income in the future, but want more flexibility, check out an income rider. Annuities with an income rider provide guaranteed income for life with a death benefit for beneficiaries along with much more flexibility, access, growth potential, and control.
