Annuity

Pronunciation: /ˈæn.ju.ɪ.ti/

Definitions of annuity

noun a fixed sum of money paid to someone each year, typically for the rest of their life

Example Sentences

A1 An annuity is a type of financial product that provides a regular income.

A2 She decided to invest in an annuity to ensure a steady stream of income during retirement.

B1 Many people choose to purchase an annuity as part of their retirement planning strategy.

B2 The financial advisor recommended diversifying her portfolio with an annuity.

C1 An annuity can be a useful tool for managing longevity risk in retirement.

C2 The complexity of different annuity options can make it challenging to choose the right one for your financial goals.

Examples of annuity in a Sentence

formal An annuity is a financial product that provides a series of payments over a predetermined period of time.

informal My grandparents receive an annuity every month from their retirement fund.

slang I heard that investing in annuities is a smart move for long-term financial stability.

figurative The steady stream of income from the annuity acted as a safety net during tough times.

Grammatical Forms of annuity

• past tense: annuitized
• plural: annuities
• comparative: more annuitized
• superlative: most annuitized
• present tense: annuitizes
• future tense: will annuitize
• perfect tense: has annuitized
• continuous tense: is annuitizing
• singular: annuity
• positive degree: annuity
• infinitive: to annuitize
• gerund: annuitizing
• participle: annuitizing

Origin and Evolution of annuity

First Known Use: 1250 year

Language of Origin: Latin

Story behind the word: The word 'annuity' originated from the Latin word 'annuitas' which means annual payment.

Evolution of the word: Originally used in reference to annual payments made by the Roman government, the term 'annuity' has evolved to refer to a series of payments made at regular intervals, usually for a fixed period or for the lifetime of an individual.