AAII's Guide to Top Web Sites

Immediate Annuities

An immediate annuity, or income annuity, is an insurance product that provides guaranteed payments to an investor over a specified period of time, funded through a lump-sum payment. Immediate annuities offer a useful fixed-income alternative for retirees. However, they are complex investments with tax structures and fee schedules that must be understood before a purchasing decision can be made. The sites listed below provide the most extensive educational information, as well as policy quotes.

 Fidelity.com  

   www.fidelity.com
FREE

Where to Find: Click on Investment Products, then select Annuities from the list that pops up underneath. To go to the Immediate Annuities page, click on Immediate Fixed Income Annuities underneath the Retirement Income heading.
Information and guidance on annuities is given, including a short video that explains various aspects of immediate annuities. Annuities page offers an interactive questionnaire to help you narrow down the range of retirement income products to the ones that may suit your needs. Details on the providers of immediate annuities that Fidelity offers access to are given in a comparison box. A guaranteed-income estimator helps you decide which type of annuity offers the payment and features you need.




 ImmediateAnnuities.com  

   www.immediateannuities.com
FREE
The website looks dated, but it does provide annuity quotes when you enter your state, age, gender and either the lump sum you have to invest or the monthly dollar amount you'd like to receive. However, to get the full nine-page report on any policy, you must submit your name and contact information. Site also provides a comparison of current payouts, a monthly income calculator and a list of the insurance companies that participate, along with their asset size and ratings from the major agencies




 Vanguard  

   www.vanguard.com
Free

Where to Find: Click on Personal Investors, What We Offer, and then Annuities.
Provides comparisons between immediate and deferred annuities, as well as guidance on how to choose between the two. Educational content includes an explanation of how immediate fixed annuities work. A calculator compares costs between Vanguard's products and annuities offered by many competitors.