discuss primary benefits of various annuities and recommend one to your 25 year

Accounting
Tutor: None Selected Time limit: 1 Day

discuss primary benefits of various annuities and recommend one annuity to your 25 year old nephew, provide specific examples on the salient manner in which the annuity that you recommend would provide the greatest benefit to your nephew upon his retirement at age 65.

Aug 26th, 2015

Thank you for the opportunity to help you with your question!

An annuity is an investment made in lump sum or periodically for a certain period of time. The annuity generates interest from payments which is compounded after a certain period of time.

benefits of annuities include

-They allow one to save away a larger amount of cash and defer paying taxes

-generation of revenue from interest earnings

the best kind of annuity for my nephew would be deferred fixed annuities. When annuities are deferred and fixed, this means that my nephew would start to receive payments after retirement(at 65) and would be assured of a fixed rate of return.


Please let me know if you need any clarification. I'm always happy to answer your questions.
Aug 26th, 2015

Studypool's Notebank makes it easy to buy and sell old notes, study guides, reviews, etc.
Click to visit
The Notebank
...
Aug 26th, 2015
...
Aug 26th, 2015
Dec 9th, 2016
check_circle
Mark as Final Answer
check_circle
Unmark as Final Answer
check_circle
Final Answer

Secure Information

Content will be erased after question is completed.

check_circle
Final Answer