Se Habla Espanol        site map | contact us | home     

 

 

 

Get A Quote

 

 

 

 

 

 

 

 

  

Are you worried about outliving your income? That’s a risk that you can do something about. When you invest in an annuity, you set the stage to receive income in the future.

 

How do annuities work?

An annuity is an insurance contract designed to protect you from the risk of outliving your income. Through annuitization, your purchase payments (what you contribute) are converted into periodic payments that can last for life.

 

Our annuities are flexible so you can choose one that enables you to:

Invest a lump sum or invest over a period of time

Start receiving payments immediately or at some later date

Select a fixed or variable rate of return

 

 

What type of annuity could fit into your investment plan?

Immediate annuities – To start receiving income right away 

 

What’s immediate about immediate annuities? After you purchase this type of annuity, you immediately begin receiving income payments.

 

Features of immediate annuities

    Immediate annuities are usually purchased with a lump-sum payment.

    Investments can be fixed or variable.

    Investments are tax-deferred, so you don't pay taxes on accumulated earnings until you      withdraw your money. Only your earnings are taxed as ordinary income.

    Income options include a guaranteed payment for life or a specified period of time      (guarantees subject to the claims-paying ability of the issuing insurance company; they      don’t apply to the investment performance or safety of the underlying investment      options).

    Options include death benefits.

    Withdrawals before age 59½ are generally subject to a 10% federal income tax penalty      as well as ordinary income taxes. Early withdrawals are subject to a surrender charge.

 

 

Deferred annuities – To start receiving income later

 

What is a deferred annuity? With this annuity, you wait to start receiving the potential payout. It’s designed to help you grow your assets and provide a steady income stream for your retirement.

 

Features of deferred annuities

    Deferred annuities can be purchased through payments over time or with a single      payment.

    Annuities can be fixed or variable.

    Annuities are tax-deferred, so you don't pay taxes on any accumulated earnings until      you withdraw your money. Only your earnings are taxed as ordinary income.

    Income options include a guaranteed payment for life or a specified period of time      (Guarantees are subject to the claims-paying ability of the issuing insurance company.

    They don't apply to the investment performance or safety of the underlying investment      options.)

    Options include death benefits.

    Withdrawals before age 59½ are generally subject to a 10 percent federal income tax      penalty as well as ordinary income taxes. Early withdrawals are subject to a surrender      charge.

 

 

Fixed Annuities

Fixed annuities are a popular choice among individuals who want a guaranteed interest rate and a stream of income that they can't outlive.

 

Fixed annuity features

Tax deferral on earnings

Minimal risk exposure

Access to your money (withdrawals made before age 59½ are generally subject to a     10% federal income tax penalty, and a contingent deferred sales charge, CDSC, may      apply)

Death benefits for your beneficiaries

 

 

A variable annuity gives you a rate of return that changes based on how the selected underlying investments options perform.

 

With a variable annuity, you can invest in one product with multiple underlying investment options and direct money into variable sub-accounts investment options based on how much risk you want to take. Investing involves market risk and your investment return, principal value and periodic payments will fluctuate over time, and you could end up with more or less than the amount you invested.

 

Variable annuity features

Tax-deferred growth potential in the accumulation phase (Earnings are taxed as ordinary      income when withdrawn and there may be a 10% federal tax penalty on withdrawals      before age 59½. Naturally, if you take an early withdrawal, your death benefit and the      cash value of the annuity contract will be reduced.)

Death benefits for your beneficiaries

Tax-free/penalty-free transfers among underlying investment options

A variety of payout options, including systematic withdrawals and annuitization (If you      decide to take your money out early, you may face fees called surrender charges.) 

 

 

Next steps

Be sure to talk to your investment professional about how a deferred annuity may fit into your individual retirement plan.

 

Read this important information

Before deciding on a variable annuity, you should consider your needs and investment style as well as the investment objectives, risks and expenses of the annuity and its underlying investment options. To obtain this information, contact your investment professional and request a prospectus or click on one of the product names found on the variable annuity home page. Underlying fund prospectuses can be obtained from your investment professional or by contacting Johnson Insurance. Read the prospectus carefully before you make a purchase.

 

Neither Nationwide nor its representatives give legal or tax advice.  Please consult with your attorney or tax advisor for answers to your specific tax questions.  

 

 

 

(p) (828) 258-8030 ∙ (f) (828) 258-8030
(e) tony_johnson_agency@nationwide.com