Delayed Annuity

Filed Under » ,
Dictionary Says

Definition of 'Delayed Annuity'

An annuity in which the first payment is paid at a later date in the future. A delayed annuity, similar to a regular annuity consists of a stream of cash flows provided to the annuity holder. However, cash payments do not begin to flow immediately, instead following a predetermined future schedule.
Investopedia Says

Investopedia explains 'Delayed Annuity'

If Steve was to receive five yearly payments of $100 at the end of each year starting this year, then this payout would be considered an ordinary annuity. On the other hand, if the five payments are deferred for 10 years, this instrument is classified as a delayed annuity. In order to determine the net present value of the delayed annuity, the payments must be discounted to year zero (the present).

Related Video for 'Delayed Annuity'

Sign Up For Term of the Day!

Try Our Stock Simulator!

Test your trading skills!

Related Definitions

  1. Annuity Due

    An annuity whose ...
  2. Ordinary Annuity

    A series of ...
  3. Present Value Of An Annuity

    The current ...
  4. Future Value Of An Annuity

    The value of a ...
  5. Annuity

    A financial ...
  6. Twinternship

    An internship in ...
  7. Average Age Of Inventory

    The average ...
  8. London Business School

    A school of ...
  9. Cash For Clunkers

    A program that ...
  10. Graduate Management Admission Test - ...

    A standardized ...

Articles Of Interest

  1. Calculating The Present And Future Value Of Annuities

    At some point in your life you will have to deal with a series of fixed payments over time, so it pays to know how to calculate them.
  2. An Overview Of Annuities

    These contracts provide a guaranteed income stream. Learn how they work and their benefits.
  3. Variable Annuities With Living Benefits: Worth The Fees?

    Added features can make a variable annuity suitable for certain investors. Find out if it could work for you.
  4. Annuities: How To Find The Right One For You

    Fixed, variable and indexed annuities offer different features. Find out which one fits your needs.
  5. 7 Tools For Rebuilding Retirement Savings

    If your nest egg has taken a hit, these conservative investments could help get you back on track.
  6. Balance Work And Grad School

    The advantages enjoyed by successful work-study participants are well worth the time and effort exerted.
  7. The Impact Unpaid Internships Have On The Labor Market

    The dramatic increase in unpaid internships has given rise to favorable and unfavorable arguments based on their impact on the students/interns, the labor force and the economy as a whole.
  8. 5 Ways To Fund A College Education

    You can go to college without going broke, but it may take an unconventional approach.
  9. 4 Ways To Get A Head Start On Your Financial Career

    Breaking into the finance business is tough, but these tips can help.
  10. Stock Market Simulators: Play Your Way To Profits

    Online stock simulators make learning about stocks as fun and easy as playing a game.

comments powered by Disqus
Recommended
Loading, please wait...
Trading Center