The investment need not mature at the prescribed retirement age. An investor may purchase a single-premium endowment plan maturing at age 62, another maturing at age 63, etc.

If the investment is a life annuity, you will be taxed on 50% of the total annuity payouts each year, for as long as the annuity payouts are received. If the investment is not a life annuity and matures beyond the ten-year withdrawal period, it will be valued and taxed at 50% tax concession at the end of the ten-year period.