Loading the player...
What does 'Annuity Due' mean
Annuity due is an annuity whose payment is to be made immediately, rather than at the end of the period.
Next Up
BREAKING DOWN 'Annuity Due'
An annuity due requires payments to be made at the beginning of the period. For example, in many lease arrangements, the first payment is due immediately and each successive payment must be made at the beginning of the month.
RELATED TERMS

Delayed Annuity
An annuity in which the first payment is paid at a later date ... 
Deferred Payment Annuity
An annuity where the payments received will start some time in ... 
Annuity In Advance
An amount of money that is regularly paid at the beginning of ... 
Ordinary Annuity
A series of equal payments made at the end of each period over ... 
Annuity In Arrears
An annuity that has periodic payments of either interest and/or ... 
Whole Life Annuity Due
A financial product sold by insurance companies that requires ...
Related Articles

Retirement
Are Annuities RetirementOnly Investments?
Learn more about why annuities are generally purchased and the way that they can positively and negatively affect an individual preparing for retirement. 
Options & Futures
20 Investments: Annuity
What Is It? You can think of an annuity as another way of saying "annual payments". An annuity is a series of fixedamount payments paid at regular intervals over the specified period of the ... 
Retirement
How a Fixed Annuity Works After Retirement
These popular investments can provide a steady stream of income during your retirement years. Here are the details. 
Options & Futures
Add Annuities To Your Retirement Portfolio
The only real difference between you and Warren Buffett is a few wellchosen stocks â€“ the billiondollar fortune is the result. 
Investing Basics
How to Calculate the Value of Annuities
Here's everything you need to account for when calculating the present and future value of annuities. 
Professionals
Annuities And The Future Value And Present Value Of Multiple Cash Flows
Learn about annuities and how their present and future values are calculated. 
Investing
Advising FAs: Explaining Annuities to a Client
Conceptually speaking, annuities can be thought of as a reverse form of life insurance. 
Investing Basics
DIY Annuities: What You Need to Know
Annuities are attractive because they can give you a stream of income, but they can be tricky to buy. 
Term
What's an Ordinary Annuity?
An ordinary annuity is a series of equal payments made at the end of each period over a fixed amount of time. 
Investing Basics
Are Annuities Right for You?
Annuities are safe and often appealing, but IRAs and 401(k)s offer advantages that annuities typically canâ€™t match, with little additional risk.
RELATED FAQS

For what types of financial instruments would I want to calculate the present value ...
Learn about the types of financial instruments the present value of an annuity calculation is most useful for, including ... Read Answer >> 
What are the main kinds of annuities?
Learn about the four basic types of annuities, and why the different investment and payout options are suitable for different ... Read Answer >> 
What are the risks of annuities in a recession?
Distinguish between the most common types of annuities, and understand which types of annuities pose the most risk during ... Read Answer >> 
What is an annuity?
An annuity is a contract between you and an insurance company in which you make a lump sum payment or series of payments ... Read Answer >> 
What is the difference between the present value of an annuity and the future value ...
Find out about the difference between the future value and present value of a fixed annuity, including how to use these calculations ... Read Answer >> 
What are the best ways to sell an annuity?
Learn about the best ways to sell annuities. Annuities are financial products that provide income on a regular basis to their ... Read Answer >>