Massachusetts Personal Injury

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An Annuities Primer
By Bill Willard

Annuities are long-term investment tools for supplementing retirement income. There are no IRS-imposed annual contribution limits, and annuity earnings grow tax-deferred until the funds are withdrawn or paid out as income.

Though popular among today's aging Baby Boomers and members of the Mature or "Senior" markets, annuities can be traced back to ancient Greece. The term "annuity" comes from the Greek word "annus"-or "year"-and refers to annual income payments. Similarly, in ancient Rome citizens would make one-time payments to a contract called "annua" in exchange for lifetime payments made once a year.

In 17th century Europe, annuities were used as fundraising devices by governments to finance the...
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