Fixed annuities

What Are Fixed Annuities?

A fixed annuity is a vehicle that can provide tax
deferral, withdrawal benefits, income streams for life and safety of principal. These unique benefits can assist you in accumulating and distributing your assets to meet your needs. A fixed annuity can be an immediate annuity, providing for your current income needs, or it can be a deferred annuity, providing for your accumulation as well as future income needs. Your value in an annuity contract is the premium or premiums you’ve paid, less any applicable charges and fees plus interest credited. The insurance company credits interest, and you defer taxes on the earnings until you make a withdrawal or begin receiving an annuity income.

Lower Your Current Income Taxes
Tax-deferred earnings accumulate within the annuity
to increase your investment:

• Interest is earned on the premiums.
• Interest is earned on the accumulated balance.
• Interest is earned on the dollars that would have
  been paid out in taxes every year (assuming you
  would have invested in a taxable account).

*10% IRS penalty may apply to withdrawals prior to age 59 1/2*, guaranteed *Guarantees are based on the claims paying ability of the issuer*

Tax-Advantaged Investment
Think of an annuity as your own personal retirement
account, one that allows you to save for retirement,
or during your retirement years, in a tax-advantaged
way. You may already have a qualified plan through
your employer, or an Individual Retirement Account
(IRA). If you do, congratulations! These plans are
among the few tax-favored accounts you can use to
accumulate retirement funds. You may also have
financial institution CDs, and other accounts that are
earmarked for use during retirement. Fixed annuities
are among the assets that can provide the foundation
for your financial well-being.