Annuities

It is the IRS mandated minimum yearly withdrawal from tax-deferred retirement funds for participants aged 70 1/2 or 72, depending on the year of their birth. In order to avoid penalties, RMDs must be taken from annuities held within an IRA or 401(k). Withdrawals are not required from non-qualified annuities, which are funded with post-tax […]

People are becoming more interested in annuities as a means of saving for retirement. When I wrote a column regarding life annuities two weeks ago, people started asking a lot of questions about how these income-for-life generators actually work (read it online here). Here are some of the most frequently asked questions, with solutions provided

The annuity option for retirement planning has finally piqued people’s interest. When I wrote a column regarding life annuities two weeks ago, people started asking a lot of questions about how these income-for-life generators actually work (read it online here). From insurance companies and financial advisors, we’ve compiled a list of some of the most

Insurance firms offer annuities, which are financial products. Annuities can be used for a variety of estate planning purposes, but the most common annuities are designed to fulfill two primary goals—to generate an income stream during your lifetime and to transfer assets to a designated beneficiary after you die. There is no need to go

With the help of annuities many people can achieve their financial goals, but the wording of annuity contracts can be quite difficult to comprehend. An annuity’s current cash value can be useful in weighing your options, but beware of surrender charges, which can apply if you try to close out your annuity before a specified

Individuals over the age of 70 can make a donation to the Arthritis Society while receiving a lifetime income from a charitable gift annuity. It is possible to improve your after-tax spending power through charitable gift annuities. Can annuities be donated to charity? Gift annuities are offered by many significant nonprofit organizations, including a number

If you like, you can receive income payments for the rest of your life. The frequency of annuity payments varies depending on the type of annuity you select. Three times a year. Can you contribute monthly to an annuity? Payouts can be made in a variety of ways, such as monthly, quarterly, or yearly. Depending

Consult a specialist if necessary. Certified Financial Planner Board of Standards Inc. mandates fiduciary conduct for all its members beginning in 2019. According to a new Code of Ethics and Standards, CFPs are required to always operate in their clients’ best interests. An advisor should lead you through their own inquiries as part of their

Withdrawing annuity funds can incur penalties, including a 10% penalty if you do so before you are 59 1/2 years old. You can also sell a portion of the annuity’s value for immediate cash by selling a number of payments or a fixed dollar amount. Can I convert my annuity to cash? Yes, annuity payments

It’s possible to convert your life insurance policy to an annuity if you’ve paid into it and built up its cash worth. There is a lifetime of assured income to come from the transfer. Can you 1035 exchange a life insurance policy into an annuity? A new life insurance policy on the same individual can