Converting a retirement account balance into a series of fixed, guaranteed payments calculated using annuity factors. This is one of three methods allowed under Rule 72(t) for taking penalty-free early distributions. The payment amount is based on life expectancy and does not change regardless of account performance.
Back to Glossary
Fixed Annuitization
DistributionsThis site may contain affiliate links. We may earn a commission if you sign up through our links, at no extra cost to you. Content is for educational purposes only and is not financial, investment, tax, or legal advice. Consult a qualified professional before making financial decisions.