private annuity

Definition of "private annuity"
  1. A deal where a parent moves assets to a trust for their children or grandchildren and receives consistent lifetime payments, potentially avoiding estate tax after the parent's death
How to use "private annuity" in a sentence
  1. Mom planned for her retirement and ensured our financial stability by setting up a private annuity.
  2. The estate planner suggested a private annuity to provide income for parents while preserving wealth for their children.
  3. With a private annuity, he found a way to enhance his retirement income while reducing the taxable estate for his heirs.

Provide Feedback
Browse Our Legal Dictionary
# A B C D E F G H I J K L M N O P Q R S T U V W X Y Z