An annuity provides tax-deferred accumulation and the unique ability to give you lifetime guaranteed payments. Growth is tax-deferred as long as no withdrawals are made before age 59 1/2. And unlike a 401(k) or IRA, there are no limits on the amount you can put into an annuity. (Limits still apply to annuities funding qualified plans.)
There are two basic ways to invest in an annuity. You can invest one lump sum of money, called a single premium, or you can make regular payments over a period of time - a flexible premium. The graph to the right compares these two investment options over a period of 10 years.
COUNTRY® Financial offers several different types of annuities so you can choose the one that fits into your path to retirement savings:
- Single Premium Deferred Annuity
You fund the annuity with a single payment as a long-term investment. Withdrawals are deferred until a later date. This would be a good choice for someone who has inherited money, profited from the sale of a house, or received a lump sum settlement but won't be retiring soon.
- Single Premium Immediate Annuity
You fund the annuity with a single payment and begin receiving scheduled payments. Typically, this annuity is purchased by people who are getting ready to retire or are already retired, or people who need immediate access to funds.
- Flexible Premium Deferred Annuity
Regular payments, or premiums, are made for a long-term investment. Withdrawals are deferred until a later date.
If you still have questions on how annuities can enhance your retirement security, find a COUNTRY Financial representative in your neighborhood.
Issued by COUNTRY Investors Life Assurance Company®, Bloomington, IL. Coverage not available in all states. Read our full disclaimer.
COUNTRY Financial and our representatives cannot give tax advice. See a tax advisor for more details.
Issuing Life Insurance Company: COUNTRY Investors Life Assurance Company®, 1701 N Towanda Avenue, PO Box 2000, Bloomington, IL 61702-2000, Telephone 1-866-COUNTRY (1-866-268-6879).