Annuity can be defined as the sum of money, usually in a fixed amount, that an individual needs to pay another annually. Sometimes it is paid by someone for the rest of their lives. On the other hand, annuity can also mean some form of investment that gives or entitles an entity to annual stream income that is usually used upon retirement.

This is a part of one’s finances that needs to be taken cared of and kept track. This can easily be done with the use of financial calculators, specifically annuity calculators. We have gathered various annuity calculator samples and templates in this article that you can view, download, and use personally. And to further help you understand about this financial tool, we have also included some of the basic information and terminologies that you need to know about it.

## What Is an Annuity Calculator?

Annuity calculators are tools that you can use to accurately calculate annual funds, like retirement savings funds and investment funds or insurance funds. These funds are derived from the series of payments that one has made for a span of one year, which they expect to get in a lump sum at a specific time. Using an annuity calculator does not only offer you accurate calculations, but it also helps you find a couple of things related to the funds mentioned. Through the calculator, you are able to determine how much money is needed for a specific payment. Another thing that an annuity calculator can do is tell you the payment that you need to deplete the funds for a specific number of years. An annuity calculator not just tells of payments that need to be made; it also tells you of how much the investment return it will generate. You may also see sample net pay calculator templates.

## Annuity Calculator Spreadsheet

## Annuity Investment Return Template

## Present Value Calculator

## What Is the Difference between an Annuity and a Pension?

When discussing about annuity, it is commonplace to have it related to pension. Annuity and pension are both funding schemes that one can take advantage of at some point in time, usually after retirement. Although they are believed to mean the same thing, there are actually differences between the two. Below is a comparison that will help you further understand their differences. You may also see sample savings account calculators.

### 1. Funding Scheme

Both pension and annuity are funding schemes. A pension scheme is the type that is known by a lot of people. Individuals can take advantage of their pension benefits when they retire from service. Annuity, on the other hand, is a type of pension scheme where funds can be used by an individual even if they have not retired from service and are still working. You may also like monthly timesheet calculators.

### 2. Payment Amount

There is also a big difference in the amount paid for a pension and annuity. The pension benefits that one gets is determined by the amount of money they have earned and contributed while they were still working until they retired. This means that they get back what they paid for while in service. The amount paid in annuity is based on how much investment an individual has made on their annuity scheme. It could be bigger or smaller than their pension, but both are based on certain variables and are not always fixed. You may also check out sample retirement withdrawal calculators.

### 3. Issuance

Pension payments are often provided in lump sums on a monthly basis. This is amount is based on how much they have earned while still in service divided by the total number of months that their pension is good for. In annuity, an individual can get a lump sums as long as they live for specified period of time provided that they are enrolled in an annuity scheme. You might be interested in employee timesheet calculator.

### 4. When the Owner Dies

When the pension holder passes away, their pension is then converted into a family pension, which means that it is shared among the members of the family the holder has left behind. Death benefits in an annuity include guaranteed periods, joint life annuity and survivor. You may also see sample biweekly timesheet calculators.

### 5. How It Is Acquired

Pension benefits are earned by people or individual by working or during their years of services, especially in government jobs. Annuities are investment purchased by individuals from any insurance company of their choice. Unlike annuities, pensions cannot be bought and there is definitely no way for an individual to buy one.

Other related topics you might be interest in are available on our website. They are pension service claim form templates, sample annual payment calculators, and sample investment policy statements, to name a few.

## What Are the Different Types of Annuities?

There are basically two types of annuities and they are deferred annuities and immediate annuities. Each of these types are discussed below.

### Deferred Annuities

- In a deferred annuity, you are investing money on something for a period of time which is usually until retirement. People who opt for this type of annuity only make withdrawals when they are ready or in the case of most individuals, during retirement. You may also see sample work timesheet calculators.
- Since there won’t be any withdrawals for a specific period of time, one’s money will definitely accumulate and grow.
- And when the holder wishes to start withdrawing money from their investment, they can have their current deferred annuity converted into an immediate annuity scheme. You may also like sample hourly timesheet calculators.

### Immediate Annuities

- Immediate annuities work differently from that of a deferred annuity. It can be viewed as the exact opposite of a deferred annuity because once an individual has made their initial investment, they begin to receive payouts soon after that. You may also check out hours worked calculator samples.
- In this type of annuity, your money will not accumulate but you will continue to receive payouts for your investment.
- It can be purchased when an individual is nearing their desired retirement age. You may also like sample monthly time sheet calculator templates to download.

Which is the best type of annuity that you can invest on? It actually depends on your preferences as the investor. If you are considering buying this kind of investment, then you will need to choose one that is appropriate for your needs or best fits your lifestyle. It is still payment that you need to make after all. You may also be interested in some investment-related topics we have in store for you on our website, like investment proposals, investment agreements samples and templates, and investment analysis templates.

## Time Value of Money Calculator Template

## Time Value Annuity Calculator

## Time Value of Money Tables & Template

## What Are the Advantages and Disadvantages of Annuity Calculators?

What can I get from using annuity calculators? Or what does it have in store for me? Has this question ever crossed your mind? Well, if you would like to know, here are some of the advantages and disadvantages of annuity calculators.

### Advantages

- They can easily be found online and some are even available for free download, such as a spreadsheet calculator. You can keep these downloadable calculators for your personal use.
- Annuity calculators make it easy to keep track of your investments as well as your payouts.
- It is pretty easy to use such calculators because it only involves easy tasks such as copying and pasting. You just need to copy and paste the required data onto the appropriate fields and the calculator will do the calculations for you. You may also see monthly budget calculator templates to download.
- There is no need for you to study or look for the formula needed to come up with a certain computation to arrive to the desired result. Annuity calculators are already programmed with the appropriate formula that are needed to come up with an accurate answer. And yes, all of the calculations done in an annuity calculator are guaranteed accurate. You may also like sample retirement and savings calculators.
- It will also be easy for you to sort and look for important components and data as they are arranged in a visually pleasant way even with the presence of terms that you might not know of and large numbers.
- Annuity calculators help you save time because you don’t have to go through the computing everything manually. Just enter the needed data and you get the results right away. You may also check out sample time card calculators.
- Most annuity calculators provide instructions on how the calculator can be used effectively. It may also include a definition of the terms used in it.

### Disadvantages

- Although there are a lot of annuity calculators that you can find and download online, it might be difficult to make one on your own. It is basically easier to use than make one because of the many formulas that you have to know and deal with, not to mention the components that you need to include in it. You may be stuck to using what is available to you online. You might be interested in payroll tax calculator templates to download.
- Because these calculators are available online, those who do not have access to computers or Internet connection might not be able to take advantage of this tool or even find it useful.
- It will really be difficult to use the tool for the first time and it may take some time before one gets used to it. You may also see calculator spreadsheet samples and templates.
- Even if the results of the calculations of an annuity calculator are guaranteed accurate, 100 percent accuracy still depends on the data entered into the appropriate fields. If data has been entered in the wrong field or if the digits are not correct, the calculator will still be able to do the calculations accurately. But since a mistake was done while entering data, it is likely that the value will no longer be correct.

The same advantages can be acquired with the use of other financial calculators. If you are interested, you can visit our website and check out a variety of calculator samples and templates, like savings calculator templates, net worth calculator samples and templates, and home mortgage calculator samples and templates.

### Related Posts

#### 8+ Sample Timesheet Calculator

#### 8+ Sample Mortgage calculator Template

#### 8+ Sample Employee Timesheet Calculator

#### 7+ Sample Marketing Calculator Template

#### 7+ Sample Payroll Tax Calculator

#### 6+ Sample 401k Calculator

#### 4+ Mortgage Payoff Calculator Samples

#### 15+ Time Sheet Calculator Templates

#### 10+ Employee Timesheet Calculator

#### 9+ Sample Loan Calculator Template

#### 9+ Sample Credit Card Payoff Calculator

#### 8+ Sample Wedding Budget Calculator

#### 8+ Sample Family Budget Calculator

#### 8+ Biweekly Timesheet Calculator

#### 6+ Sample Biweekly Timesheet Calculator