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annuity

[uh-noo-i-tee, uh-nyoo-] /əˈnu ɪ ti, əˈnyu-/
noun, plural annuities.
1.
a specified income payable at stated intervals for a fixed or a contingent period, often for the recipient's life, in consideration of a stipulated premium paid either in prior installment payments or in a single payment.
2.
the right to receive such an income, or the duty to make such a payment or payments.
Origin
late Middle English
1400-1450
1400-50; late Middle English < Anglo-French annuité, annualté < Medieval Latin annuitās, equivalent to Latin annu(us) yearly (derivative of annus year) + -itās -ity
Related forms
superannuity, noun, plural superannuities.
Dictionary.com Unabridged
Based on the Random House Dictionary, © Random House, Inc. 2014.
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Examples for annuity
  • Risks are few, if you buy a fixed-rate annuity from a top-rated insurance company.
  • Deferred compensation and supplemental tax-sheltered annuity programs also available.
  • Indeed, you can go into the market any day and buy an individual pension called an annuity.
  • On-line is great for annuity revenue and eliminating the problems of limited shelf-space.
  • The technical word for the financial instrument that accomplishes this feat is an annuity.
  • So annuity rates or government bond yields are the appropriate measure for discounting liabilities.
  • Investors may soon hear a lot about an annuity that promises risk-free growth.
  • Benefits are linked to annuity rates, protecting both the scheme and the pensioners from annuity risk.
  • The principal from the mortgages is distributed in a series of lump sum payments or an annuity.
  • But companies that got into the variable annuity market early may suffer, because early pricing models were too optimistic.
British Dictionary definitions for annuity

annuity

/əˈnjuːɪtɪ/
noun (pl) -ties
1.
a fixed sum payable at specified intervals, esp annually, over a period, such as the recipient's life, or in perpetuity, in return for a premium paid either in instalments or in a single payment
2.
the right to receive or the duty to pay such a sum
Word Origin
C15: from French annuité, from Medieval Latin annuitās, from Latin annuusannual
Collins English Dictionary - Complete & Unabridged 2012 Digital Edition
© William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins
Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012
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Word Origin and History for annuity
annuity
early 15c., "a yearly allowance," from O.Fr. annuité, from M.L. annuitatem (nom. annuitas), from L. annus "year" (see annual). Meaning "an investment that entitles one to equal annual payments" is from 1690s.
Online Etymology Dictionary, © 2010 Douglas Harper
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annuity in Culture
annuity [(uh-nooh-uh-tee)]

A sum of money payable yearly or at regular intervals.

Note: Many people's retirement funds are set up to be paid in annuities.
The American Heritage® New Dictionary of Cultural Literacy, Third Edition
Copyright © 2005 by Houghton Mifflin Company.
Published by Houghton Mifflin Company. All rights reserved.
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