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Joint Life Annuity
(redirected from Joint Annuity)

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Joint Life Annuity
An annuity that two persons, almost always a married couple, open in order to provide for both in retirement. A joint life annuity makes payments to the designated party as long as one of the spouses remains alive. Depending on the nature of the agreement, the amount in the payments may decrease when the first spouse passes away. It is also called a joint and survivor annuity.

joint life annuity


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It has two drawbacks, first, it is a contract for life, so once signed there is no going back; second, when you die the insurance company can keep the rest of your pension pot, whether you live for two or 20 years (unless a joint annuity is taken out - see below).
If you are married, for example, you will wish to consider whether to use your pension fund to buy a single or a joint annuity ?
A joint annuity is practical because it is virtually maintenance free.
 
 
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