A variable annuity is an insurance contract which states the investor will put money into an account, either in a lump sum or as payments over a period of time. In return, an insurance company will make regular payments to the insured, either beginning
immediately or at a future date (usually beginning at retirement) for the rest of your life, the life of your spouse or for a specified time period.
There are several different investment options with a variable annuity and the rate of your return directly depends on the performance of your investments. Variable annuities feature a death benefit in which a spouse or beneficiary will receive a specified amount upon the insured’s death. These contracts are also tax-deferred, meaning one would not pay taxes on the money until it is withdrawn. To learn more about the different types of annuities, contact the investment professionals at Savage & Associates. We can talk with you about your unique needs to determine your investment needs.
A variable annuity is a long-term retirement investment contract. Withdrawals of
earnings or other taxable amounts are subject to income tax and, if made prior to age
59½, may be subject to an additional 10% federal tax penalty. Early withdrawals reduce the death benefit and may be subject to surrender charges. The reduction of the death benefit may be more or less than the actual amount of the withdrawal. The amounts allocated to the variable investment options of your account balance are subject to market fluctuations so that, when withdrawn or annuitized it may be worth more or less than its original value. All product guarantees are based on the claims-paying ability of the issuing insurance company.
Before investing, carefully consider the investment objectives, risks, charges and
expenses of the variable annuity as well as their investment options. This and other
information is contained in the prospectus, which you should read carefully before
investing. Prospectuses are available from your registered representative. Variable
annuities are subject to market risk. Your principal value may decline.
Call 419-475-8665 or fill out our on-line request form for more information or to schedule an exploratory appointment with our experienced professionals at Savage & Associates.