Annuity examples are illustrative scenarios that show how different types of annuities"fixed, indexed, variable, immediate, and deferred"operate under various market conditions and client goals. Good examples highlight inputs such as premium amounts, ages, crediting assumptions, fees, and payout options, and then project cash values and income streams over time. They also clarify what is guaranteed versus hypothetical, how taxes are applied to distributions, and what happens under adverse conditions like market downturns or early withdrawals. Annuity examples are essential teaching tools for demystifying complex products and helping clients see how annuities might fit into their retirement or legacy plans.

Advisors use annuity examples in presentations, proposals, and educational seminars, often adapting carrier illustrations into simplified charts and narratives. They may compare a fixed annuity to a CD, show how an indexed annuity performs under different index paths, or contrast variable annuity income with systematic withdrawals from a brokerage account. Compliance-reviewed examples help ensure balanced discussion of risks and benefits. Advisors also keep a library of anonymized real-client examples that demonstrate how annuities have worked in practice over time. Understanding annuity examples allows advisors to move beyond jargon and connect annuity mechanics to concrete, client-relevant situations, improving comprehension and decision quality.