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Term of the Day
fixed amortization method
fixed
fixed and variable rate allowance (FAVR)
Definition
A
retirement
fund
option
that allows participants to
withdraw
funds
prior to the age of 50 1/2 years without a
penalty
. The
payout
is
amortized
over the
account
holder's
expected remaining
life
at an
interest rate
that remains
fixed
throughout the
payment
period
.
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Popular 'Retirement' Terms
annuity
OASDI
deferred compensation
Social Security
IRA
qualified retirement plan
annuitant
non-qualified retirement plan
liquid net worth
401(k) plan
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