Future Value of an Annuity
Definition
- A calculation of the future value of an annuity's worth at a specific date. Having an estimation of the future value of an annuity can be used by the individual to choose the right type of annuity and the best payment options.
Synonyms
prospective value of an annuity, annuity outlook, potential value of an annuity, future annuity value
Acronyms
FVA
Related Terms and Acronyms
- Annuity — Definition,
- A regular periodic payment made by an insurance company to a policyholder for a specified period of time.
- A financial instrument that disperses a number of payments over a set period of time.
- Annuity Consideration — Definition,
- The payment(s) made by an individual in order to accumulate value in an annuity.
- Annuity Factor Method — Definition,
- A way of determining the maximum amount an annuitant can withdraw from an annuity before penalties are applied.
- Annuity Ladder — Definition,
- A financial plan to purchase multiple annuities from different companies over a number of years in order to minimize interest rate risk and the risk of a total loss.
- Annuity Table — Definition,
- A table that can be used to find the future value of an annuity.
- Commissioners' Reserve Valuation Method — Definition,
- A method used to determine the minimum statutory reserves for annuities and insurance products.
- Present Value Interest Factor of Annuity (PVIFA) — Acronym,
- A method used to find an annuity's present value.
- Valuation — Definition,
- The estimation of a property's price value through an appraisal.
- The process of finding the worth of an asset or business.
