3 types of Fixed Annuity Withdrawals & how they work for income, cashing out & beneficiary benefits.

3 types of Fixed Annuity Withdrawals & how they work for income, cashing out & beneficiary benefits.

Know your annuities and the options they allow.
- No Access
- Limited Access
- Timed Access
- Guaranteed Access
- Very risky, can lose money (LIFE ONLY)
- Fully guaranteed gains (Life with long term period certain)
- Penalties (surrender charges & pre 59&1/2 withdrawals)
- Beneficiary guarantees and benefits

LIFETIME IMMEDIATE ANNUITY
$500,000 Premium
No Cash Value / No Access
Return of the $500,000 is based on income payments received
Could lose premium (Life Only, Period certain not long enough to recover premium)
Could guarantee a return of premium (Refund options, cash and installment)
Could guarantee a gain (Long term Life + 20)
Death Benefit is based date of death and any remain guarantees, not going to be $500,000 lump sum.

COMBO/SPLIT ANNUITY
$500,000 Premium
Cash Value on accumulation (MYGA) side / No Access on Income (SPIA) Side
Return of $500,000 is guaranteed on accumulation side (assuming no withdrawals)
Could lose premium (Only if client violates provision agreed to)
Will guarantee a return of premium (Held to term accumulation will = $500,000)
Death Benefit is based date of death and any remain payments, $500,000 lump sum if beneficiary is able to hold to term.
Cash out with $500,000 at end of term

DEFERRED ANNUITY INTEREST ONLY WITHDRAWALS
$500,000 Premium
Cash Value accessible
Return of $500,000 is guaranteed (assuming no withdrawals above interest earned)
Could lose premium (Only if client violates provision agreed to)
Death Benefit is based date of death, $500,000 lump sum to named beneficiary
Cash out with $500,000 at end of term