Definition of annuity in English:

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Pronunciation: /əˈn(y)o͞oədē/

noun (plural annuities)

1A fixed sum of money paid to someone each year, typically for the rest of their life: he left her an annuity of $1,000 in his will
More example sentences
  • Until 1999, the only choice available to anyone retiring was an annuity, a fixed income for life.
  • Previously, if investors wanted to reinvest the bulk of their savings, they were compelled to put the money into an annuity.
  • Equitable is expected to first devise a draft proposal, designed to buy out the expensive annuity guarantees that the society can no longer afford.
1.1A form of insurance or investment entitling the investor to a series of annual sums: [as modifier]: an annuity plan
More example sentences
  • The scandal is also enmeshing insurance companies selling variable annuities, policies that let investors pay their premiums to mutual funds.
  • When you use the amortization or annuity method, you must factor in an annual interest rate.
  • She says the little money she has left is in annuities at an insurance company.


Late Middle English: from French annuité, from medieval Latin annuitas, from Latin annuus 'yearly', from annus 'year'.

Words that rhyme with annuity

acuity, ambiguity, assiduity, congruity, contiguity, continuity, exiguity, fatuity, fortuity, gratuity, ingenuity, perpetuity, perspicuity, promiscuity, suety, superfluity, tenuity, vacuity

For editors and proofreaders

Syllabification: an·nu·i·ty

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