Single Premium Income Annuities

Steady income to meet your schedule

The Single Premium Income Annuity (SPIA)  is a flexible annuity that serves many needs.  The flexibility of a SPIA offers the opportunity to design a payment schedule that meets individualized needs.  By maximizing the amount available, this solution helps avoid the need to live on a smaller income than required.

The income schedule can be designed for individual needs according to specific financial requirements.  These payments can be either a fixed amount or include a pre-determined cost of living adjustment designed to meet both present and future needs.
The guarantee of lifetime income makes a SPIA an excellent alternative to traditional pension plan investments, which are subject to stock market volatility.\

Income WITH tax benefits

Favorable tax treatment of the scheduled income is another advantage of the SPIA. Part of the monthly income you receive from a SPIA is considered a return of principal and is thus excludable from income taxes.

A SPIA offers:

  • Flexible, easily-managed income
  • A guaranteed source of income with no investment risk
  • Financial stability
  • Payments set for a guaranteed fixed period or for life
  • Retirees an income that will not run out in later years

A variety of choices for a variety of needs

A SPIA provides several different income payment options, which may include but are not limited to:

  • Fixed Period – You decide how many years you want to receive income payments and the amount of each income payment is reported to you.
  • Fixed Amount – You decide how much you want your income payment to be and the calculation of how long the payments last will be done for you.
  • Life w/ Period Certain – With this option, equal payments are made to you throughout your lifetime or to your beneficiary for a guaranteed minimum period of time.
  • Life w/ Refund – Under this option you elect to receive a life income; but if you don’t live long enough to receive all your premiums back, it will be refunded to your named beneficiary.
  • Joint and Survivorship – This payout option provides for payments over the lives of two individuals and can also be combined with period certain options.

Contact Settlement Funding Associates to learn more about SPIA today.