How often must annuity benefit payments typically be made to the annuitant?

Annuity benefit payments are typically made to the annuitant on a monthly basis because this frequency aligns with common financial planning practices. Many individuals rely on the regular inflow of cash to manage their living expenses, making monthly payments preferable. This schedule allows annuitants to receive their benefits in a manner similar to receiving a salary, providing a consistent and predictable income stream.

While quarterly, annually, and every six months are certainly options available with certain annuity contracts, they are less common for individual financial planning. Monthly payments can help individuals budget effectively and meet their financial obligations on time, contributing to greater financial stability in retirement. Thus, the preference for monthly payments is rooted in the desire for regularity and reliability in cash flow for individuals relying on annuities during their retirement years.