Annuity Guys®

Annuity Rates, Features & Ratings: America's trusted annuity resource. Compare best options for hybrid, index, fixed, variable & immediate annuity quotes.


Helping You Create Great Results Your Retirement Deserves!



(217)753-1515
  • Home
  • About Us
    • About Us
    • Contact Us
    • Site Terms & Disclosure
    • Privacy Policy
  • FAQs
    • Most Frequently Asked Annuity Questions
  • All Annuity Guys Videos
  • Annuity Types
    • Best Annuity Reviews
    • Market Free™ Annuities
    • Choosing an Annuity
    • Deferred Annuities
    • Hybrid Annuity Choices
      • Hybrid Annuity Pros&Cons
      • Hybrid Income Riders
      • Hybrid Annuity Guarantees & Strategies
    • Fixed Annuity Choices
      • Fixed Annuity Performance
      • Better Fixed Annuities
      • Fixed Deferred Annuities
      • Fixed Rate Annuities
      • Fixed Annuity Alternatives
      • Fixed Annuity Pros & Cons
      • Fixed Annuity Negatives
    • Index Annuity Choices
      • Fixed Index Annuity Features
      • Fixed Index Annuity Performance
      • Better Fixed Index Annuities
      • Fixed Index Annuity Alternatives
      • Fixed Index Annuity Pros & Cons
      • Fixed Index Annuity History
      • Fixed Index Annuity Negatives
    • Immediate Annuities
      • Immediate Variable Annuity
      • Immediate Fixed Annuities
    • Variable Annuities
      • Variable Annuity Features
      • Better Variable Annuities
      • Variable Annuities Disadvantages
      • Variable Annuity Alternatives
      • Variable Annuity Negatives
      • Variable Annuity Performance
    • Pre-Issued Annuities™
      • Hybrid Annuities versus Pre-Issued Annuities ™
    • Annuity Glossary
  • Articles
    • How Do MarketFree™ Annuities Work?
    • Are Annuities Safe?
    • Living Benefits
    • FIA Performance
    • Beware of FIAs?
    • Annuities & Retirement
    • Annuities & Estate Tax
    • Rollovers & Annuities
    • Annuities & Tax
    • Charity & Annuities
    • The Lost Decade
    • Best Annuity Videos
    • Social Security Benefits
  • Calculators
    • Retirement Planning Calculator — Basic
    • Retirement Shortfall Calculator — Basic
    • Immediate Annuity Calculator & Quotes
    • Fixed Index Annuity Calculator & Fixed Annuity Calculator
    • Variable Annuity Calculator & Hybrid Annuity Calculator
  • Blog
    • Annuity Guys® Weekly Annuity Video Blogs
  • Get Annuity Guys Help
    • Request Annuity Guys’ Planning Help Today
You are here: Home / Annuity Types / Online Annuity Rates and Annuity Quotes May 2025 / Fixed Deferred Annuities

Fixed Deferred Annuities

Fixed Deferred Annuity vs. Variable Deferred Annuities

All annuities other than immediate annuities have a characteristic known as deferral. The purpose of deferral is twofold. First, it refers to money being left in a savings-growth stage over a period of time, also referred to as the accumulation stage. Second, deferral refers to the tax characteristics of deferral allowing money to grow tax-free until it is withdrawn for income. Thus, an immediate annuity is neither deferred for savings-growth nor tax deferral and is therefore not considered a deferred annuity.

**Guarantees, including optional benefits, are backed by the claims-paying ability of the issuer, and may contain limitations, including surrender charges, which may affect policy values. During this segment, Dick and Eric are referring to Fixed Annuities unless otherwise specified.

Review 3-Best Retirement Annuities for Your
GROWTH, INCOME & SAFETY!

So, what is the distinction between variable deferred annuity and fixed deferred annuity? It is very simple. Fixed is when the insurance institution assumes the risk for your principal and accumulation while variable is when you assume the risk for the underlying investments, principal and accumulation.

Fixed Deferred Annuity Characteristics

  • Deferred fixed annuities originated in the U.S. approximately 100 years ago
  • They can be acquired in periodic, systematic or lump sum payments
  • Deferral in fixed annuities allows the value of the annuity to increase
  • After deferral period, fixed annuity can produce more income
  • Deferred fixed annuities have the added advantage of tax deferral
  • They can be annuitized providing a lifetime of income
  • Deferred fixed annuities are mostly opposite of immediate annuities since immediate annuities begin income soon after they are purchased in a lump sum
  • Deferred fixed annuities are typically invested in high quality A – AAA government and investment-grade bonds with to the client
  • Fixed index deferred annuities are never invested into a market index; they are only using the index as a gauge to credit interest to the client
  • CD deferred fixed annuity refers to a type of annuity that has a multi-year interest **guarantee. Only bank-issued CDs are FDIC insured
  • Deferred fixed annuities are creditor-protected in most states
  • Deferred fixed annuities are first **guaranteed by the claims paying ability of the insurer and then each state has a State Insurance Guarantee Association (SIGA) with varying coverage limits
  • Check out our deferred fixed annuity calculator
  •  

    Fixed Deferred Annuity Summary

    All deferred fixed annuities  enjoy tax deferral with no income tax requirement until withdrawal. This is a definite advantage over many investments like CDs, mutual fund^s and securities oriented investments when considering a long term retirement plan. A long term fixed annuity investment may outperform CDs, bonds and treasuries. Reinvesting money that would otherwise be paid out in tax over an extended period of years is always an advantage. In addition, deferred fixed annuities have several benefits that can be important for retirement planning.

    Question: What are Ben Bernanke, the Federal Reserve Chairman’s primary personal retirement assets comprised of?

    Answer: Two deferred annuities!

    346
    SHARES
    ShareTweetGoogleLinkedinPinterestSkypeStumbleuponTumblrDeliciousDiggRedditMail

 

Empowering Annuity Reference Book

 
DOWN-LOAD NOW - FREE!
  • Annuity Guys Reference Book - 250 pages of Annuity Facts

  • "The New Retirement"
    Annuity Reference Book 
    Free Instant Download
  • Confidential - Easy Opt Out
  • This field is for validation purposes and should be left unchanged.

 

  • Why are Annuities an Excellent Alternative Asset Class?

    Why are Annuities an Excellent Alternative Asset Class?

    What goes up but does not come down? No, this is not the start of some riddle to be answered …Read More »
  • What do index annuities, mutual funds and ETFs have in common?

    What do index annuities, mutual funds and ETFs have in common?

    Fixed index annuities, mutual funds^, and exchange traded funds (ETFs) could not possibly have very many things in common or …Read More »
  • Why do 84 percent of Retirees want Annuities but only 14 percent buy them?

    Why do 84 percent of Retirees want Annuities but only 14 percent buy them?

    “You can’t always get what you want; but if you try, sometimes, well you just might find you get what …Read More »

Revealing Fun Video: Fiduciary Advisors Vs. Annuity Salesmen
MUST KNOW FACTS 90% of
ANNUITY ADVISORS AVOID TELLING!
  • *FIDUCIARY RETIREMENT REVIEWS
    Second Opinions Improve Retirements
     
    "For Your Retirement's Success"
     Choose a *Fiduciary Advisor who gives you Full Disclosure of Cost & Selection.
     
    Material Fact 1:
      About 90% of advisors ARE NOT REQUIRED by law to do what is best for their clients!
     
    Material Fact 2:
     Fiduciary Advisors ARE REQUIRED by law to do what's best for their clients! 
     
      Hence, clients of a fiduciary can know that their advisor chose the highest legal standard required by law to work strictly for their highest good.
     
     We estimate Fiduciaries are less than 10% of total U.S. financial service providers. Fiduciaries are held to the highest client legal standard of financial planning and investment advice.
     
     The other 90% are sales oriented advisors, brokers, bank reps, registered reps. & insurance agents, selling products on a much lower suitability legal standard, not necessarily what's best for their client!
     
       Fiduciaries also must disclose conflicts of interest that could potentially bias their advice, such as; selling products that pay them higher commissions having higher fees or costs, and their lack of investment product access limiting their client's opportunities, to name a few.
     
    Choosing your advisor can have
    "The Largest Single Impact on
    Your Retirement's Success or Failure"


  • 100% Money Back Annuity **Guarantees!

    100% Money Back Annuity **Guarantees!

    Most big ticket purchase come with a warranty or a **guarantee – including annuities. Did you know that all annuities …Read More »
  • Why are Hybrid Annuities so Popular?

    Why are Hybrid Annuities so Popular?

    What made fixed index annuities and hybrid annuities the fastest growing annuity type on the market according to a LIMRA …Read More »
  • Annuities versus Securities

    Annuities versus Securities

    When you build a house, you don’t start with the roof – you start with the foundation. For many retirees annuities help …Read More »
  • Why do 84 percent of Retirees want Annuities but only 14 percent buy them?

    Why do 84 percent of Retirees want Annuities but only 14 percent buy them?

    “You can’t always get what you want; but if you try, sometimes, well you just might find you get what …Read More »
  • Index Modified Endowment Contract vs a Fixed Index Annuity

    Index Modified Endowment Contract vs a Fixed Index Annuity

    A while back, we attended a training where one of our colleagues waxed poetically about what he called “the best financial …Read More »
  • Hybrid Annuities as an Inflation Hedge

    Hybrid Annuities as an Inflation Hedge

    Inflation – this one word strikes terror in the hearts of many retirees on a fixed income.Never to fear, we have a cost of …Read More »
  • Why get out of the market now?

    Why get out of the market now?

    What? Markets were on their way back to all-time highs – There must be a mistake! Did we hear the …Read More »
  • Annuities: What Percentage Should Be in Your Retirement Portfolio?

    Annuities: What Percentage Should Be in Your Retirement Portfolio?

    The answer is… 50 percent (NOT!!!) — want to know why many insurance sales agents might say that?It’s nice when …Read More »

View Our Newest Videos! Subscribe Now
  • Annuity Guys Videos - Annuity Answers
  • New Annuity Guys Videos
    Our Entertaining & Informative
     Saturday Morning Video Blog
  • Timely Retirement & Annuity Issues - Easy Opt Out
  • This field is for validation purposes and should be left unchanged.


  • Sell in May and Go Away or Buy Annuities?

    Sell in May and Go Away or Buy Annuities?

    Life is full of profound statements and sayings that stick in our minds. For investors and brokers, the saying “sell …Read More »
  • Can MarketFree® Annuities Balance Your Portfolio?

    Can MarketFree® Annuities Balance Your Portfolio?

    It has been more than four years since the pandemic started and the stock market has reached some new historic …Read More »
  • Annuities, Investing and Retirement – What’s Your Strategy?

    Annuities, Investing and Retirement – What’s Your Strategy?

    A goal without a plan is mostly just a hope and a wish. So, do you have a well thought …Read More »
  • Why do 84 percent of Retirees want Annuities but only 14 percent buy them?

    Why do 84 percent of Retirees want Annuities but only 14 percent buy them?

    “You can’t always get what you want; but if you try, sometimes, well you just might find you get what …Read More »
  • Are Annuities a Better Answer for The Impending Correction?

    Are Annuities a Better Answer for The Impending Correction?

    Sir Isaac Newton said it best, “What goes up must come down.” Even this booming V shaped recovery is no …Read More »
  • Hybrid Annuities as an Inflation Hedge

    Hybrid Annuities as an Inflation Hedge

    Inflation – this one word strikes terror in the hearts of many retirees on a fixed income.Never to fear, we have a cost of …Read More »
  • Annuities – The Best Financial Product No One Wants!

    Annuities – The Best Financial Product No One Wants!

    Why would an insurance actuary call annuities the best financial product no one really wants? And why would he go …Read More »
  • Are Annuities Good or Bad?

    In and of themselves, annuities just like any other investment are not technically good or bad. An annuity can, however, …Read More »
Get Newly Released Annuity Guys® Videos on Saturday Mornings
  • Annuity Guys Videos - Annuity Answers
  • New Annuity Guys Videos
    Our Entertaining & Informative
     Saturday Morning Video Blog
  • Timely Retirement & Annuity Issues - Easy Opt Out
  • This field is for validation purposes and should be left unchanged.


  • Can Hybrid Annuities Beat Market Returns?

    Can Hybrid Annuities Beat Market Returns?

    Do you remember the story of the tortoise and the hare? Hybrid annuities might be compared to the tortoise in …Read More »
  • Buy an Annuity Now or Will Rates Rise?

    Buy an Annuity Now or Will Rates Rise?

    All things come to him who waits- provided he knows what he is waiting for… Prior to the Corona-virus it …Read More »
  • Choosing Annuity Potential or Income **Guarantees

    Choosing Annuity Potential or Income **Guarantees

    Have you ever heard the quip “It can be hard to remember that the objective was to drain the swamp …Read More »
  • Market Volatility is Back! Are MarketFree™ Annuities an Answer?

    Market Volatility is Back! Are MarketFree™ Annuities an Answer?

    Timing is everything. Unfortunately, 99 percent people who say they are only in the stock market when it is going up …Read More »
  • Why Hybrid Annuities Are Game Changers

    Why Hybrid Annuities Are Game Changers

    Two recent studies discuss the overwhelming growth of annuities as a sought after financial product. LIMRA cited the significant growth in …Read More »
  • How Do MarketFree™ Annuities Work?

    As you consider your overall strategy for retirement planning, one financial product to consider is a MarketFree® annuity. There are many …Read More »
  • Is a Pre-Issued Annuity right for you? – Part 1

    Is a Pre-Issued Annuity right for you? – Part 1

    This is a two part blog on Pre-Issued Annuities. In part 1 we will examine some of the reason why …Read More »
  • Annuity Undo Buttons – Using Your Free Look!

    Annuity Undo Buttons – Using Your Free Look!

    Most big ticket purchase come with a warranty or a **guarantee – including annuities. Did you know that all annuities …Read More »
  • Hybrid Annuities have too many moving parts… Says Who?

    Hybrid Annuities have too many moving parts… Says Who?

    What makes a Hybrid Annuity different from a Fixed Annuity? Answer: index strategies, an income rider, and the contractual **guarantees associated …Read More »
  • Reduce Your Concern of Outliving Retirement Dollars!

    Reduce Your Concern of Outliving Retirement Dollars!

    Have you ever made a trip to the grocery store where you picked up a few items, walked up to …Read More »

 

Empowering Annuity Reference Book

 
Start Reading Now - Instant Download
  • Annuity Guys Reference Book - 250 pages of Annuity Facts

  • "The New Retirement"
    Annuity Reference Book 
    Free Instant Download
  • Confidential - Easy Opt Out
  • This field is for validation purposes and should be left unchanged.

 
Comprehensive Site Terms and Disclosure | Privacy Policy | Copyright © 2025 Annuity Guys®


  ** Guarantees, including optional benefits, are backed by the claims-paying ability of the issuer, and may contain limitations, including surrender charges, which may affect policy values. Annuities are not FDIC insured and it is possible to lose money.
Annuities are insurance products that require a premium to be paid for purchase.
Annuities do not accept or receive deposits and are not to be confused with bank issued financial instruments.
During all video segments, Dick and Eric are referring to Fixed Annuities unless otherwise specified.


  *Retirement Planning and annuity purchase assistance may be provided by Eric Judy or by referral to a recommended, experienced, Fiduciary Investment Advisor in helping Annuity Guys website visitors. Dick Van Dyke semi-retired from his Investment Advisory Practice in 2012 and now focuses on this educational Annuity Guys Website. He still maintains his insurance license in good standing and assists his current clients.
Annuity Guys' vetted and recommended Fiduciary Financial Planners are required to be properly licensed in assisting clients with their annuity and retirement planning needs. (Due diligence as a client is still always necessary when working with any advisor to check their current standing.)



  # Investors should consider the investment objectives, risks, charges and expenses of a variable annuity and its underlying investment options. The current prospectus and underlying prospectuses, which are contained in the same document, provide this and other important information. Please contact an Investment Professional or the issuing Company to obtain the prospectuses. Please read the prospectuses carefully before investing or sending money.


  ^ Investors should consider investment objectives, risk, charges, and expenses carefully before investing. This and other important information is contained in the fund prospectuses and summary prospectuses, which can be obtained from a financial professional and should be read carefully before investing.


  ^ Eric Judy offers advisory services through Client One Securities, LLC an Investment Advisor. Annuity Guys Ltd. and Client One Securities, LLC are not affiliated.


346 SHARES