Planning for Retirement
What are your plans for retirement? Perhaps you dream of spending more time with family and friends, travelling the world, pursuing educational goals or even turning a hobby into
a business. While most people know how they’d like to spend their retirement years, many have yet to devise a plan for funding their dreams.
Enjoying a comfortable retirement is a realistic goal, but careful planning is often required. Participating in your
employer’s retirement savings
program can be a convenient way to get started.
Retirement accounts offer several advantages to long-term investors:
Traditional Retirement Accounts (Employer-sponsored)
Roth Retirement Accounts (Employer-sponsored)
Roth accounts are funded with after-tax dollars. These accounts may grow tax-free,2 and all qualified distributions are tax-free as well.2
Roth accounts are a great way to build tax diversification into your retirement planning strategy. By creating a mix of both tax-deferred and tax-free savings, you have the
flexibility to control your yearly taxable income during retirement while taking additional tax-free withdrawals as needed to maintain your desired level of income.
IRAs / Roth IRAs
You may also wish to fund a
Traditional or
Roth IRA (if eligible) in addition to an employer-sponsored
retirement account to maximize your tax-advantaged savings opportunities.
Many investors seek to save even more for their retirement years by investing in other vehicles such
as annuities and
non-qualified investments.
Your Legend Group financial advisor can assist you in creating and maintaining a workable retirement savings plan designed to reflect your long-term goals.
1 Distributions from a traditional retirement account are subject to ordinary income taxes in the year distributed. Distributions prior to age 59½ may incur an
additional 10% penalty.
2 In order for the Roth §403(b) account to be distributed tax-free, it must be funded for a minimum of fi ve years and distributions cannot be taken before the
account holder attains age 59½. A participant would also qualify for tax-free distributions if the account was held for five years and the account owner became disabled
(under the strict definition of disability of §72(p) of the IRS code). Furthermore, in the event of the account holder's death, beneficiaries would receive tax-free
distributions if the account was held for at least five years. Otherwise, the distribution would be treated as part return of principal and part taxable earnings. A 10%
premature withdrawal penalty may apply to the earnings.
Legend Equities Corporation and its affiliates do not provide tax information or advice.
Before investing in a variable annuity, consider its investment objectives, risks, charges and expenses carefully. The prospectus contains this and other information. Prospectuses for both the variable annuity contract and the underlying funds can be obtained by contacting Legend Equities Corporation. Please read the prospectus carefully before you invest or send money.