annuity

[ uh-noo-i-tee, uh-nyoo- ]

noun

, plural an·nu·i·ties.

1. a specified income payable at stated intervals for a fixed or a contingent period, often for the recipient's life, in consideration of a stipulated premium paid either in prior installment payments or in a single payment.
2. the right to receive such an income, or the duty to make such a payment or payments.

annuity

/ əˈnjuːɪtɪ /

noun

1. a fixed sum payable at specified intervals, esp annually, over a period, such as the recipient's life, or in perpetuity, in return for a premium paid either in instalments or in a single payment
2. the right to receive or the duty to pay such a sum

annuity

1. A sum of money payable yearly or at regular intervals.

Notes

Many people's retirement funds are set up to be paid in annuities.

Other Words From

• super·an·nui·ty noun plural superannuities

Word History and Origins

Origin of annuity¹

First recorded in 1400–50; late Middle English, from Anglo-French annuité, annualté, from Medieval Latin annuitās, equivalent to Latin annu(us) “yearly,” derivative of annus “year” + -itās -ity

Word History and Origins

Origin of annuity¹

C15: from French annuité, from Medieval Latin annuitās, from Latin annuus annual

Example Sentences

The trust she used, the grantor retained annuity trust, or GRAT, morphed from exotic estate-tax dodge to routine estate planning for the wealthy.

From ProPublica

I think many people don’t really understand annuities in the following sense.

From Time

Secondly, to be fair, there are some annuities that have more bells and whistles, and maybe aren’t as good as the ones that we offer.

From Time

With the remaining $1.775 million, he can buy an annuity that yields almost $89,000 - which still beats working.

From The Daily Beast

There are no laurels to rest on, and no boring but steady annuity of cash that ballasts Microsoft and will for years to come.

From The Daily Beast

But that $1 million is actually an annuity, which pays out about $25,000 over 40 years—before taxes.

From The Daily Beast

From affluence he came to want, and in his old age a fund was raised sufficient to purchase him an annuity of £600 a year.

From Project Gutenberg

A Norfolk lady has left an annuity of seventy pounds for the support of her two favourite cats.

From Project Gutenberg

About noon comes my uncle Thomas to me to ask for his annuity, and I did tell him my mind freely.

From Project Gutenberg

She had saved her share of the annuity which the Government paid the Indians, and had about one thousand dollars in specie.

From Project Gutenberg

For this work he received a gold medal and an annuity for life.

From Project Gutenberg

Related Words

• amount
• award
• cash
• deposit
• disbursement
• fee
• outlay
• pension
• premium
• refund
• reimbursement
• remittance
• reparation
• repayment
• restitution
• return
• reward
• royalty
• salary
• settlement