Is An Immediate Annuity A Fixed Annuity? 
An immediate annuity is an annuity that begins immediate payouts of income . It can be fixed , indexed , or variable . A Fixed Annuity has a set interest rate that it will pay . An Indexed Annuity has a guaranteed rate which can increase based on the performance of stock index 's . A variable annuity 's interest rate is more closely tied to the stock market and is a little more volatile . 