Patent ID: 8103529

Claim:
A method for distributing guaranteed long-life payments, comprising: using a calculator machinery to calculate rider charges to be charged to a guarantee based on specified guaranteed long-life payments, age, gender, and a deferral period desired by the guarantee; using a payment machinery to print checks or prepare electronic transfers for distributing the guaranteed long-life payments, whose distribution is separate from a distribution of a pledged asset, the act of distributing the guaranteed long-life payments commencing after a deferral period has passed, rider charges are paid by the guarantee, and the guarantee is still alive; and calculating a nonforfeiture amount in year T, which is a sum of three summands, one of the summands being a product of two multiplicands, one of the multiplicands being a first constant to reflect a fixed percentage of credit accumulation, a second multiplicand being a non forfeiture amount in year T−1, which defines a recursion.