Account Setup

{"subtitle":"It is usually a 4-step process that could take several days to a few weeks to complete.","answer":"\u003col\u003e\n \u003cli\u003eCompare products and complete annuity application forms.\u003c/li\u003e\n \u003cli\u003e\u003cstrong\u003eSuitability:nbsp annuity companies will review your financial profile and goals very carefully, to ensure the specific annuity contract is suitable to you.\u003c/li\u003e\n \u003cli\u003e\u003cstrong\u003eFund Transfer:nbsp the new account may be funded by cash/check, IRA transfer or 401(k) rollover. This could be a slow step that needs your follow-up.\u003c/li\u003e\n \u003cli\u003e\u003cstrong\u003eFree-link:nbsp when the annuity company receives the fund, your account will be activated. Some annuity contract documents will be mailed to you. Most companies have a provision called the free look period that gives the pruchaser 10 to 30 days to consider the terms of the contract.\u003c/li\u003e\n \u003c/ol\u003e

Yes, you can purchase an annuity for another person. The owner's signature is required by the account forms, and the owner has all the rights with the annuity account. If you don't want the other person to be the owner, he or she can be the annuitant, whose age is used to calculate the income benefit of the annuity. Most annuities have a Joint-Life option that keeps paying Lifetime Income until both spouses pass away.

There is no limit on the number of annuities you can own. Similar to IRA's, a person can own multiple annuity accounts.

Most companies set age 30 as the lower limit, and the typical upper limit is 85. The average age of first-time annuity buyers is about 50, based on a few surveys.