How Do Lifetime Annuities Work? 
The combination of mortality credits and the interest rate yield create a compelling reason to investigate lifetime income you cant outlive . Generally speaking , annuities offer payout options to their policy owners . Some elect to take out withdrawals other predetermined schedules like ten years or twenty years certain . But a popular payout option in a non-qualified annuity is annuitization for the life of the annuitant based on his or her age . This is also the exclusion ratio where basis is amortized to life expectancy as part of the initial payouts . 