what is a joint and survivor annuity 
a joint and survivor annuity is an insurance product designed primarily for retired couples who want a guaranteed monthly income that will continue for as long as either spouse lives annuities in general are investment choices that can be used to provide a regular stream of income during retirement an alternative to the joint and survivor annuity is the single life annuity which stops payment at the death of the annuitant a couple investing in a joint and survivor annuity has many options to consider a higher initial benefit will come with a reduction in the monthly payout for the survivor a lower benefit might be continued at the same level for the survivor understanding joint and survivor annuitiesanyone considering a joint and survivor annuity must first determine precisely how much the payments will be that depends on many factors including how much money they are investing the life expectancies of both individuals and whether the annuity is fixed or variable depending on investment returns 1there are other decisions that affect the numbers a typical joint and survivor annuity might reduce the monthly payment to the survivor by 30 to 50 the investors may however choose a somewhat lower payment that will continue unchanged for the lifetime of the survivor the prospective investor must also take a careful look at the fees and commission involved the cost of annuity fees averages 2 3 of the annuity s value and can go higher particularly in complex products 2