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Non-Qualified Annuities

If you wish to save even more for retirement and are already taking full advantage of all the tax-advantaged savings opportunities available to you, i.e:1

  • employer-sponsored retirement plans
  • self-employed retirement plans (if you have income outside of your regular employment and meet eligibility requirements)
  • IRAs / Roth IRAs
a non-qualified (after-tax) annuity may be the solution you seek. Non-qualified annuities offer an additional opportunity for potential tax-deferred investment growth, and can help you create a retirement income stream that may last your entire lifetime.2

An annuity is a contract between you and an insurance company, under which the insurer agrees to make periodic payments to you, beginning either immediately or at some future date. You may purchase an annuity contract by making either a single purchase payment or a series of purchase payments.

Depending on your ultimate goals, there are two types of annuities to consider:
  • Deferred – A deferred annuity can help you build your retirement nest egg on a tax-deferred basis, to tap for income at a later date.
  • Immediate – An immediate annuity is appropriate when you wish to create a continuing stream of income from your assets
In addition, you will need to choose how your annuity is invested:
  • Fixed Annuities – During the savings accumulation phase, fixed annuities are guaranteed to earn a predetermined interest rate. During the annuitization phase, a fixed annuity guarantees2 a set income payment at regular intervals until the contract terminates, usually at the death of the annuitant and/or survivor.
  • Variable Annuities – offer a range of investment options, and the value of your investment as a variable annuity owner will vary depending on the performance of the options you choose. Variable annuity owners may select from available investment subaccount options that invest in equity, debt and money market instruments, or some combination of the three.

    At the end of the accumulation phase, a minimum payment is guaranteed2 by the insurance company. Additional income payments vary along with the performance of the annuity’s underlying investments.


View a list of annuity options available through The Legend Group.

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1If you are investing in an annuity through a tax-advantaged retirement plan (such as a §401(k), §403(b) or IRA), you will get no additional tax advantage from the annuity. Under these circumstances, consider buying a annuity only if it makes sense because of the annuity's other features, such as lifetime income payments and death benefit protection.

2Payments of guaranteed income are contingent upon the claims-paying ability of the issuing insurance company. Duration of guarantee time period may be limited by tax law restrictions.

Legend Equities Corporation and its affiliates do not provide tax or legal information or advice.

Annuity contracts may contain surrender charges, exclusions, limitations and terms for keeping them in force.

Early withdrawals prior to age 59½ may be subject to surrender charges and a 10% tax penalty.

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 prospectuses carefully before you invest or send money.