On July 1 of this year, qualified longevity annuity contracts (QLAC) were approved for use within traditional IRA’s, 401k’s and certain other retirement plans. Grey Pink Jordan Shoes This decision gives you a new option for funding your retirement. Buty Adidas Damskie But if you’re wondering how a QLAC can benefit you, check out the following reasons it might make sense to include one in your retirement plan. Protect your principal. When you invest in a deferred income annuity such as a QLAC, you don’t have to worry about market conditions causing a loss of your principal. Your money is fully protected within the annuity. Adidas Scarpe Uomo Set up a guaranteed stream of income. With a QLAC, you can defer some income to begin in 15 years, or at age 85. Maglia Kyrie Irving Now you can rest assured, knowing that you have a stream of income that will last the rest of your life. LUNARGLIDE 8
Enjoy the security of legacy benefits. Set up spousal or non-spousal beneficiaries, and you can ensure that your money will pass to your family members rather than being forfeited to the annuity carrier. You might be able to lower your taxes. You are allowed to use 25 percent of your retirement plan, or $125,000 (whichever is less) to purchase a QLAC. With that amount excluded from your required minimum distribution amounts, you could lower your income taxes. Scarpe Air Jordan Xxx Reduce your fees. Many other annuity options include high fees. Womens Air Jordan 4 With an QLAC, the fees are built into the product and you won’t owe annual fees. In most cases, a QLAC is a bargain when you compare the fees to variable or indexed annuities. fjällräven kånken Laptop 17 Include a cost of living adjustment in your contract. Some QLAC carriers allow you to include a cost of living adjustment (COLA) in your contract, meaning your income can be adjusted to increase along with inflation. Air Huarache Donna Rosa
This can provide a valuable benefit to retirees worried about the rise in their cost of living over the years. These are just a few of the benefits of including a QLAC in your retirement plan. Also remember guarantees are subject to the claims paying ability of the issuing insurance company, so do your research. Maglie Minnesota Timberwolves Give us a call before making any big decisions, and we can help you assess additional benefits of a QLAC.