# Annuity

*Saving & Investing — Finicade finance glossary*

A fixed series of payments over a set period — a mortgage, a pension, loan instalments. Its value today is the sum of each payment discounted back, which is why annuity formulas show up everywhere in finance.

**Related terms:** [Perpetuity](https://finicade.com/glossary/perpetuity), [Present Value](https://finicade.com/glossary/present-value), [Amortization](https://finicade.com/glossary/amortization)

**Taught in:** Charter Climb — Time Value of Money

Source: https://finicade.com/glossary/annuity