A retirement plan that may be established by employers, including self-employed individuals. The employer is allowed a tax deduction for contributions…

A tax-deferred, government-registered retirement savings plan that is specially designed for small business owners (SBOs). Eligible participants for an…

A tax-free exchange of an existing annuity contract for a new one. In order for the new contract to qualify as a Section 1035 Exchange, the policyholder…

A type of RRSP (Registered Retirement Savings Plan) whose owner determines the asset mix held in the trust. An RRSP is a Canadian retirement savings vehicle…

The risk of receiving lower or negative returns early in a period when withdrawals are made from the underlying investments. The order or the sequence…

A retirement plan that an employer or self-employed individuals can establish. The employer is allowed a tax deduction for contributions made to the SEP…

One of two payout option methods an employer uses to distribute retirement benefits. At retirement, a retiree has the choice of either a single-life payout…

A United States federal program of social insurance and benefits developed in 1935. The Social Security program's benefits include retirement income…

The period in a person's life following retirement in which earning income has come to a stop and the person is living off government subsidy, retirement…

A type of annuity that uses a portion of the principal to fund immediate monthly payments and then saves the remaining portion to fund a deferred annuity…

A transfer of retirement fund assets to the spouse of the deceased. The transfer is generally done in one of two ways. The first way is for the retirement…

A Traditional or Roth IRA established and funded by an individual for his or her spouse. These plans are typically set up when the spouse has little…

An investment vehicle found in both company retirement plans and, quite recently, IRA accounts. Stable value funds are comprised of mostly 'synthetic…

The level of wealth, comfort, material goods and necessities available to a certain socioeconomic class in a certain geographic area. The standard of…

The shock associated with opening an investment statement and seeing that the value of your portfolio has dropped more than expected. Statement shock…

An insurance product that makes periodic payments to the annuitant until his or her death, at which point the payments stop completely. These products…

An annuity option where tax-deferred allowances are passed on to the beneficiaries, offering the beneficiaries more flexibility and control over maintaining…

An insurance product that can be purchased by a person with a serious, demonstrable health problem which will likely shorten the annuitant's life expectancy…

A plan that allows individuals who have invested in an IRA or another qualified retirement plan to withdraw funds prior to the age of 59.5 and avoid income…

The action of one party, person or product being replaced by another that has become obsolete, incapacitated, retired or deceased. Ideally, a successor…

An organizational pension program created by a company for the benefit of its employees. Also referred to as a "company pension plan". Funds deposited…

A non-qualified retirement plan for key company employees, such as executives, that provides benefits above and beyond those covered in other retirement…

A federal program that provides additional income for older and disabled people with little to no income stream. This program helps the participants meet…

A charge levied against an investor for the early withdrawal of funds from an insurance or annuity contract, or for the cancellation of the agreement…

A method of withdrawing funds from an annuity account by which the annuitant withdraws funds from the account in specified amounts for a specified payment…

A benefit plan that is similar to a defined benefit plan since contributions are based on projected retirement benefits. However, unlike a defined benefit…

A mutual fund that focuses on the distribution of income and capital gains to fund holders. These funds are becoming more popular as our population ages…

The use of legal methods to modify an individual's financial situation in order to lower the amount of income tax owed. This is generally accomplished…

A savings plan or account that is registered with the government and provides deferral of tax obligations. Tax-deferred savings plans may defer taxable…

A type of annuity that allows an employee to make contributions from his or her income into a retirement plan. The contributions are deducted from the…

An organization that is specifically set up for teachers to help with or manage retirement planning. Because there are individual teacher retirement systems…

An insurance product that guarantees a periodic payment of a predetermined amount for a fixed term. Once the term has elapsed, these products are spent…

A trust created as a result of explicit instructions from a deceased's will. Typically, the remaining estate of the deceased (trustor) will act as the…

A retirement savings plan created by the Federal Employee's Retirement System Act of 1986 for current or retired employees of the federal civil service…

An individual retirement account (IRA) that allows individuals to direct pretax income, up to specific annual limits, toward investments that can grow…

A type of life insurance contract that provides for insurance coverage of the contract holder for his/her entire life. Unlike term life insurance, which…

A tax-free, non-reportable movement of assets between retirement plans. Generally, transfers occur between similar types of plans: for instance, from…

1. A tangible or intangible barrier or occurrence that, once breached or met, causes another event to occur. Triggering events are written into contracts…

A professionally managed private investment account that is rebalanced regularly and can encompass every investment vehicle (e.g. mutual funds, stocks…

A method of calculating an employer's contribution to an employee's defined benefit plan. The employer calculates the contribution by multiplying an employee…

An insurance contract in which, at the end of the accumulation stage, the insurance company guarantees a minimum payment. The remaining income payments…

1. The lawful right of an individual or entity to gain access to tangible or intangible property now or in the future. A vested interest is an entitled…

A (French) real estate agreement where property is sold on a reverse annuity basis. Also known as a Reverse Annuity Mortgage or Charitable Remainder Trust…

A tax-free post-retirement medical expense account used by retirees and their eligible dependents to pay for any eligible medical expenses. The plan is…

A life insurance plan that provides a tax benefit in regards to intergenerational transfers of wealth. The concept occurs when a tax-exempt insurance…

A law that allows spouses and children to contest a will if they are not adequately provided for. This doesn't necessarily mean that those left not provided…