Purpose: This calculator can provide a lot of useful information about your annuity. To use it, select the interval you’d like between payments (in “annuity world,” sometimes called disbursements) and fill I the other boxes before clicking “calculate.” You’ll learn how much you’d need in the initial investment to result in a specific regular payment, how quickly the fund would be depleted by specific payment amounts and how long your annuity fund could generate the payment you specified at any given rate.
Tips & Insight: Annuities provide investors with payments at regular intervals in return for an initial lump-sum investment. Annuities are often sold by insurance companies and also are often used to structure estates for heirs. If you have an annuity, structuring your payments over time can help ensure you have ample funds for retirement or to meet financial obligations at other times during your life.