what type of contract is an spda
What is a 'Single-Premium Deferred Annuity - SPDA'. A single-premium deferred annuity (SPDA) is a type of annuity contract that is established with a single lump-sum payment by the owner. The annuity then grows on a tax-deferred basis until annuitization. Single-Premium Deferred Annuities (SPDA) can be either fixed or variable, and distributions are only taxed when you take them.