They can be structured in a lot of ways, but assuming it
Posted on: March 21, 2023 at 13:12:30 CT
Mormad MU
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was just meant to be an income stream to grandpa & grandma, it's often set up like a joint & survivor structure, where it's based on the annuitant's life and possibly his or her survivor's life. Once that ends, the income stream ends and there may or may not be an amount left over to pay out. Sounds like there might have been here - with the grandchild getting $25k. It sounds like she's getting a lump sum payout which will be taxable income to her.