BUILD AN

income strategy

Use this short quiz to help your clients develop a strategy based on their individual needs and objectives for retirement income.

Start here

When does your client need income?

Soon - within 1 year

NEEDS INCOME…

Soon - within 1 year

Later - longer than 1 year

NEEDS INCOME…

Later - longer than 1 year

« back to start

Are they comfortable investing in the market?

Yes

THEY ARE…

comfortable with investing

Somewhat comfortable

THEY STILL…

want some guarantees

No

THEY ARE…

not comfortable with investing

« back

Soon: Yes, your client is comfortable investing in the market.

So, your client is comfortable investing in the market. Great!

Action: They may want to consider opening a variable annuity with a guaranteed minimum withdrawal benefit (GMWB)

This variable annuity may offer:

Ability to take advantage of potential market growth
Ability to add additional premiums
GMWB riders¹ that may provide:

	Income soon	Income later
Bonus²		✔
Step-up potential³	✔	✔
Investment protection⁴	✔	✔
Guaranteed lifetime income	✔	✔

¹GMWB feature does not guarantee against loss in total value of the account. These losses can lead to lack of future step-ups in the Withdrawal Benefit Base. GMWB riders are subject to an additional fee.

²Bonuses only apply during the guarantee period and are applied to the withdrawal benefit base and not the contract's accumulated value as long as no withdrawals are taken. Once a withdrawal is taken, the bonus is no longer applicable.

³Once withdrawals have started, a step-up feature is less likely to occur.

⁴The GMWB rider provides investment protection. However, the accumulated value is subject to gains and losses.

« back

Soon: Your client is somewhat comfortable, but they still want some guarantees.

Your client is somewhat comfortable investing in the market. Here's how we can help.

Action: They may want to consider opening both an immediate income annuity and a variable annuity

This strategy provides them with:

Ability to receive income now with an immediate income annuity to help cover essential expenses
Long-term growth potential with market participation with a variable annuity⁵
Some safety and security with a fixed annuity
Access to a portion of your money in the variable annuity without penalty via the free withdrawal amount (the greater of earnings in the contract or 10% of premium payments less any withdrawals since the last anniversary)

Bottom line: Your client has more than one option to create guaranteed lifetime income

⁵Investing involves risk, including possible loss of principal.

« back

Soon: No, your client is not comfortable investing in the market.

They're not comfortable investing in the market? Not a problem – we're here to help.

Action: Your client may want to consider opening an immediate income annuity

An immediate income annuity may offer:

Guaranteed lifetime income by converting a portion of your retirement savings into a guaranteed income stream without the worry of market fluctuations⁶
Diverse range of income options including fixed amount, fixed period; or life income with guarantee period, cash refund or installment refund
Optional no fee riders that allow you to increase income payments to potentially keep pace with inflation or to access money if needed⁷
Optional no fee liquidity rider, providing access to money if needed - up to 100%⁸
Optional no fee rider that can help with Medicaid planning⁹

⁶Lack of market fluctuation means both a lack of possible market loss but also a lack for opportunity for market gains.

⁷While there is no additional fee for the optional cost of living riders, payments for the same premium will be lower in the early years than contracts without one of these riders.

⁸Income payments for the remaining guarantee period are reduced in direct proportion to the percentage of your withdrawal. Not available in all states and certain restrictions apply.

⁹Requires recommendation from an elder-care attorney. May not be available in all states.

« back

Later: Yes, they are comfortable investing in the market.

So, they are comfortable investing in the market and looking to invest with one year. They have two options (see both by scrolling right and left).

Action: Your client may want to consider opening an investment focused variable annuity

This variable annuity may offer:

Access to more investment option than available with GMWB
Ability to invest 100% in equities
Ability to add additional premiums
May provide access to a feature that allows client to create a personalized income plan by transferring money from investments to lock in future guaranteed income

This variable annuity may offer:

Ability to take advantage of potential market growth
Ability to add additional premiums
GMWB riders¹ that may provide:

	Income soon	Income later
Bonus²		✔
Step-up potential³	✔	✔
Investment protection⁴	✔	✔
Guaranteed lifetime income	✔	✔

Action: Your client should consider opening a variable annuity with a guaranteed minimum withdrawal benefit (GMWB)

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¹GMWB feature does not guarantee against loss in total value of the account. These losses can lead to lack of future step-ups in the Withdrawal Benefit Base. GMWB riders are subject to an additional fee.

²Bonuses only apply during the guarantee period and are applied to the withdrawal benefit base and not the contract's accumulated value as long as no withdrawals are taken. Once a withdrawal is taken, the bonus is no longer applicable.

³Once withdrawals have started, a step-up feature is less likely to occur.

⁴The GMWB rider provides investment protection. However, the accumulated value is subject to gains and losses.

« back

Later: Your client is somewhat comfortable investing, but still wants some guarantees.

Your client is somewhat comfortable investing in the market. Here's how we can help.

Action: They may want to consider using a combination of a variable annuity with a guaranteed minimum withdrawal benefit (GMWB), a deferred income annuity, and/or an investment focused variable annuity

This strategy provides your client with:

The ability to add additional premiums to either product
Upside market potential with the portion invested in a variable annuity¹³
Some safety and security with a fixed annuity
Income start date flexibility with both products, based on your retirement income needs
The opportunity to defer the distribution of a portion of your qualified assets beyond age 72 - reducing RMDs until a later date (when a deferred income annuity is purchased as a QLAC)

Bottom line: They have more than one option to create guaranteed lifetime income

¹³Investing involves risk, including possible loss of principal.

« back

Later: No, your client is not comfortable investing in the market.

They’re not comfortable investing in the market? Not a problem – we’re here to help.

Action: Your client may want to consider opening a deferred income annuity

This deferred income annuity may offer:

Income start date flexibility - can defer taking income anywhere from 13 months to 30 years
Guaranteed future income stream for life
Ability to add additional premiums
Choice of income options including fixed period, lifetime (single/joint) including life only, life with guarantee period, cash refund or installment refund¹⁰
Ability to defer a portion of required minimum distributions (RMDs) up to age 85 when purchased as a qualifying longevity annuity contract (QLAC)¹¹
Payment advancement feature that allows clients to advance up to six income payments and receive a lump sum¹²

¹⁰If purchased as a QLAC, income options are limited to life only and life with cash refund.

¹¹QLAC premium is limited to the lesser of $130,000 or 25% of total IRA balances as of prior year-end (excluding Roth and inherited IRAs).

¹²Available after the income start date on non qualified contracts receiving monthly income payments only. Limited to four requests over life of contract. Must be at least 59 1/2 to exercise. May not be available in all states any other restrictions may apply.

BUILD AN

income strategy

When does your client need income?

Soon - within 1 year

NEEDS INCOME…

Soon - within 1 year

Later - longer than 1 year

NEEDS INCOME…

Later - longer than 1 year

Are they comfortable investing in the market?

Yes

THEY ARE…

comfortable with investing

Somewhat comfortable

THEY STILL…

want some guarantees

No

THEY ARE…

not comfortable with investing

Soon: Yes, your client is comfortable investing in the market.

So, your client is comfortable investing in the market. Great!

Action: They may want to consider opening a variable annuity with a guaranteed minimum withdrawal benefit (GMWB)

This variable annuity may offer:

Income soon

Income later

Bonus2

✔

Step-up potential3

✔

✔

Investment protection4

✔

✔

Guaranteed lifetime income

✔

✔

1GMWB feature does not guarantee against loss in total value of the account. These losses can lead to lack of future step-ups in the Withdrawal Benefit Base. GMWB riders are subject to an additional fee.

2Bonuses only apply during the guarantee period and are applied to the withdrawal benefit base and not the contract's accumulated value as long as no withdrawals are taken. Once a withdrawal is taken, the bonus is no longer applicable.

3Once withdrawals have started, a step-up feature is less likely to occur.

4The GMWB rider provides investment protection. However, the accumulated value is subject to gains and losses.

Soon: Your client is somewhat comfortable, but they still want some guarantees.

Your client is somewhat comfortable investing in the market. Here's how we can help.

Action: They may want to consider opening both an immediate income annuity and a variable annuity

This strategy provides them with:

Bottom line: Your client has more than one option to create guaranteed lifetime income

5Investing involves risk, including possible loss of principal.

Soon: No, your client is not comfortable investing in the market.

They're not comfortable investing in the market? Not a problem – we're here to help.

Action: Your client may want to consider opening an immediate income annuity

An immediate income annuity may offer:

6Lack of market fluctuation means both a lack of possible market loss but also a lack for opportunity for market gains.

7While there is no additional fee for the optional cost of living riders, payments for the same premium will be lower in the early years than contracts without one of these riders.

8Income payments for the remaining guarantee period are reduced in direct proportion to the percentage of your withdrawal. Not available in all states and certain restrictions apply.

9Requires recommendation from an elder-care attorney. May not be available in all states.

Later: Yes, they are comfortable investing in the market.

So, they are comfortable investing in the market and looking to invest with one year. They have two options (see both by scrolling right and left).

Action: Your client may want to consider opening an investment focused variable annuity

This variable annuity may offer:

This variable annuity may offer:

Income soon

Income later

Bonus2

✔

Step-up potential3

✔

✔

Investment protection4

✔

✔

Guaranteed lifetime income

✔

✔

Action: Your client should consider opening a variable annuity with a guaranteed minimum withdrawal benefit (GMWB)

1GMWB feature does not guarantee against loss in total value of the account. These losses can lead to lack of future step-ups in the Withdrawal Benefit Base. GMWB riders are subject to an additional fee.

2Bonuses only apply during the guarantee period and are applied to the withdrawal benefit base and not the contract's accumulated value as long as no withdrawals are taken. Once a withdrawal is taken, the bonus is no longer applicable.

3Once withdrawals have started, a step-up feature is less likely to occur.

4The GMWB rider provides investment protection. However, the accumulated value is subject to gains and losses.

Later: Your client is somewhat comfortable investing, but still wants some guarantees.

Your client is somewhat comfortable investing in the market. Here's how we can help.

Action: They may want to consider using a combination of a variable annuity with a guaranteed minimum withdrawal benefit (GMWB), a deferred income annuity, and/or an investment focused variable annuity

Income
soon

Income
later

Bonus²

Step-up potential³

Investment protection⁴

¹GMWB feature does not guarantee against loss in total value of the account. These losses can lead to lack of future step-ups in the Withdrawal Benefit Base. GMWB riders are subject to an additional fee.

²Bonuses only apply during the guarantee period and are applied to the withdrawal benefit base and not the contract's accumulated value as long as no withdrawals are taken. Once a withdrawal is taken, the bonus is no longer applicable.

³Once withdrawals have started, a step-up feature is less likely to occur.

⁴The GMWB rider provides investment protection. However, the accumulated value is subject to gains and losses.

⁵Investing involves risk, including possible loss of principal.

⁶Lack of market fluctuation means both a lack of possible market loss but also a lack for opportunity for market gains.

⁷While there is no additional fee for the optional cost of living riders, payments for the same premium will be lower in the early years than contracts without one of these riders.

⁸Income payments for the remaining guarantee period are reduced in direct proportion to the percentage of your withdrawal. Not available in all states and certain restrictions apply.

⁹Requires recommendation from an elder-care attorney. May not be available in all states.

Income
soon

Income
later

Bonus²

Step-up potential³

Investment protection⁴

¹GMWB feature does not guarantee against loss in total value of the account. These losses can lead to lack of future step-ups in the Withdrawal Benefit Base. GMWB riders are subject to an additional fee.

²Bonuses only apply during the guarantee period and are applied to the withdrawal benefit base and not the contract's accumulated value as long as no withdrawals are taken. Once a withdrawal is taken, the bonus is no longer applicable.

³Once withdrawals have started, a step-up feature is less likely to occur.

⁴The GMWB rider provides investment protection. However, the accumulated value is subject to gains and losses.

¹³Investing involves risk, including possible loss of principal.

¹⁰If purchased as a QLAC, income options are limited to life only and life with cash refund.

¹¹QLAC premium is limited to the lesser of $130,000 or 25% of total IRA balances as of prior year-end (excluding Roth and inherited IRAs).

¹²Available after the income start date on non qualified contracts receiving monthly income payments only. Limited to four requests over life of contract. Must be at least 59 1/2 to exercise. May not be available in all states any other restrictions may apply.