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Type of Annuities
What is an annuity?
A Fixed Annuity?
A MYGA or CD-Type?
A Indexed Annuity?
A Immediate Anuity?
A Variable Annuity?
How do they work?
Yield to Surrender
Tax Treatment
Tax Comparison
Calculate & Compare
Income for Life
Premium Taxes
Guarantee Laws
Switch Annuities?
Taxable - Deferred
Savings Goal
What will I have??
Number of Years
Dollars Monthly?
Lump Sum
Future Value?
Charitable Gift
What are they?
Example of a Gift
ACGA Annuity Rates
Split Annuities
What are they?
Ratios & Income
Minimum Required
MRD Calculations
Pre 59 1/2 Penalty
59 1/2 Exceptions
59 1/2 Avoidance
Rollovers and
Whats a Rollover?
1035 Exchanges
Research and Refrence
Tax Code Online
IRS Publications

Life Expectancy

Projected Account Value and Yield to Surrender

for Fixed and CD-Type Annuities

Method of Calculation - Yield to Surrender

The projected "Account Value" is the dollar representation of of what the annuity may be worth at the end of the surrender period. This value was calculated on certain assumptions on a current basis.

We have created another calculation which we have coined "Yield to Surrender". Essentially that is the annualized yield of the annuity calculated over the time the surrender charge exists. Thus "Yield to Surrender".

Current Yield to Surrender
This is the yield based on the first year guaranteed interest rate and any number of successive years in which the interest rate is guaranteed. Then the calculation uses the base rate through last year in which the surrender charge applies.

Guaranteed Yield to Surrender
This yield is calculated only using the guaranteed interest rate for each year.

In the category of CD-Type Annuities the Current Yield to Surrender is also the Guaranteed Yield to Surrender. The interest rate is guaranteed for every year in which a surrender charge exists.

Projected Account Value Calculations

Annuities Online Lifetime Income Benefit Rider Quotes Variable Annuities Onlince