Retirement information & strategies for each stage of life
Retirement is one of the key financial goals for many people. Saving early and often is important. So is taking advantage of products and accounts designed specifically for retirement.
Tax advantages are a key feature of annuities, IRAs and employer sponsored retirement savings plans, such as 401(k), 403(b) and 457(b) plans. Any earnings growth in these products is generally tax-deferred until you make withdrawals, generally when you are retired and may well be in a lower tax bracket.
What's more, your contributions to IRAs and employer retirement plans may be made pretax or may be tax deductible, helping reduce your current tax bill.
Annuities
An annuity is long-term retirement product that can help protect you against the risk of outliving your assets. It is a contract between you and an insurance company: you receive future income in return for your contributions.
Any earnings on contributions are tax-deferred until they are withdrawn, usually at retirement when you may be in a lower tax bracket. You may receive income in a number of ways, including payments that will last for as long as you live. Annuities can be a valuable addition to your retirement plan. There are contract limitations and fees and charges associated with annuities, which include, but are not limited to, mortality and expense risk charges, sales and surrender charges, administrative fees, and charges for optional benefits. Amounts in a variable annuity's investment portfolios are subject to fluctuation in value and market risk including loss of principal. A financial professional can provide cost information and complete details. Withdrawals from annuities are subject to normal income tax treatment and if taken prior to age 59 1/2 may be subject to an additional 10% federal income tax penalty. Withdrawals may also be subject to a contractual withdrawal charge.
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Tax advantages are a key feature of annuities, IRAs and employer sponsored retirement savings plans, such as 401(k), 403(b) and 457(b) plans. Any earnings growth in these products is generally tax-deferred until you make withdrawals, generally when you are retired and may well be in a lower tax bracket.
What's more, your contributions to IRAs and employer retirement plans may be made pretax or may be tax deductible, helping reduce your current tax bill.
Annuities
An annuity is long-term retirement product that can help protect you against the risk of outliving your assets. It is a contract between you and an insurance company: you receive future income in return for your contributions.
Any earnings on contributions are tax-deferred until they are withdrawn, usually at retirement when you may be in a lower tax bracket. You may receive income in a number of ways, including payments that will last for as long as you live. Annuities can be a valuable addition to your retirement plan. There are contract limitations and fees and charges associated with annuities, which include, but are not limited to, mortality and expense risk charges, sales and surrender charges, administrative fees, and charges for optional benefits. Amounts in a variable annuity's investment portfolios are subject to fluctuation in value and market risk including loss of principal. A financial professional can provide cost information and complete details. Withdrawals from annuities are subject to normal income tax treatment and if taken prior to age 59 1/2 may be subject to an additional 10% federal income tax penalty. Withdrawals may also be subject to a contractual withdrawal charge.
read more
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