Annuity Payment Option(redirected from Annuity Payment Options)
Annuity Payment Option
Either of two ways that one may elect to receive payments from an annuity. One may receive a fixed dollar amount each month, guaranteeing payments but exposing the annuitant to inflation risk. On the other hand, one may decide to receive variable payments, tying payments to the performance of some underlying portfolio. One generally decides which annuity payment option one wishes to receive upon purchasing the annuity.