Annuities may be the financial vehicle with the lowest awareness level and the greatest misunderstanding.
There are multiple reasons plans choose to add a fixed indexed annuity.
Most savers are looking for at least one of the following:
- Protection of principal1
- Tax deferral2
- Upside interest crediting potential3 or an
- Income stream
A fixed indexed annuity from the companies of National Life Group can meet ALL of these criteria, if used properly!
1. Assuming no withdrawals are made during the withdrawal charge period. Rider charges continue to be deducted regardless of whether interest is credited. Indexed annuities have surrender charges that are assessed during the early years of the contract if the annuity is surrendered.
2. Taxes are paid at the time of withdrawal.
3. Interest on an indexed annuity is credited based on a formula that considers changes in an market index.
TC133831(0623)1
