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DEFINING RETIREMENT INCOME
  • Replacement Rate:  The percentage of a worker's pre-retirement annual earnings that he or she will receive as annual income in retirement.

  • Defined benefit plan: An employer-provided retirement plan that uses a specific, predetermined formula to calculate the amount of an employee's guaranteed future benefit that will be paid in periodic installments and last the employee's entire life.

  • Defined contribution plan:  An employer-provided retirement plan in which the employer makes specified contributions to individual employee accounts, but the amount of the retirement benefit is not specified.

  • Lifetime Annuitization: Converting a sum of money into a series of annuity payments that are guaranteed to last as long as you live.

Retirement income immediate annuity.

 

Annuities may not be available in all states. Certain provisions may vary or may not be available. State premium taxes may reduce the final value of your annuity.

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