Meaning of immediate annuity

imme'diate annu'ity

Pronunciation: [key]
  1. an annuity bought with a single premium, with payments to the annuitant to begin at the end of one payment period, as a month or a year. Cf. deferred annuity.
Random House Unabridged Dictionary, Copyright © 1997, by Random House, Inc., on Infoplease.