Can I Roll Over a Retirement Annuity From One Broker to Another?

Annuity owners are under no obligation to continue working with a representative

Consumers are free to enlist the services of any properly registered and licensed insurance broker, investment adviser or financial planner. Annuity owners are under no obligation to continue working with a representative and may move accounts, policies and money to another industry professional at any time.

However, sometimes changing brokers also requires changing annuities, typically in cases where the annuity was initially purchased directly from the insurance company, not from an independent broker.

Closing a Fixed Annuity

Closing a fixed annuity might have significant consequences!

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Careful consideration must be given to the possible consequences of closing a fixed annuity.

By terminating the contract and taking a single lump-sum withdrawal, you will increase your taxable earnings for the year.

Additionally, you may receive less than the actual balance in your account if you surrender your annuity too early.

Life Insurance Difference Between Inside Build Up & Cash Surrender Value

Life insurance policies can provide more than just a death benefit. If you buy the right type of policy, your money does more than just pay for coverage. Understanding what happens inside a life insurance policy and how your premium payments are handled can help you learn to leverage the power of tax-deferred accumulation and tax-free loans.

Bribery is Just Standard Operating Procedure

In the wake of last week's SEC press release announcing a $12.4 million settlement with Allianz SE (OTCMKTS:AZSEY) for violations of the Foreign Corrupt Practices Act, it’s hard to ignore the implication that bribery and corruption in big business have become standard operating procedures.

In the past six months alone, five major international corporations have settled lawsuits filed by the SEC for similar offenses involving secret payoffs to government officials, fraudulent payments to nonexistent companies, and kickbacks to influential people in exchange for big money contracts.

Insurers Must Embrace Technology to Survive

Doing business "the old way" doesn't work anymore

As we approach the close of another year, it’s become even more obvious that doing business the “old way” doesn’t work too well anymore. Sure, if it ain’t broke, don’t fix it – but that doesn’t mean you can forgo maintenance and upgrades.

A review of Q3 earnings reports and financial ratings of the oldest and largest life insurance companies illustrates this point. Despite some increases over the same period in 2011, the industry’s giants continue to experience premium declines.

How to Unload a Horrible Annuity

If you have no choice but to back out of an annuity contract, there's a right way to do it

Annuities are long-term retirement investment vehicles and disposing of one is not always a simple process. Several factors must be carefully considered before unloading an annuity.

Income taxes, retirement stability and future purchasing power are just some of the issues that terminating an annuity may negatively affect.

If you determine, however, that the best option is to get rid of your current annuity, there are two methods of accomplishing this: surrender or rollover.

Is an Annuity Rollover Taxable?

A properly executed annuity rollover will not generate income tax liability

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Annuities are retirement investment vehicles offered by life insurance companies. Countless annuities exist and new products continue to be developed with enticing and advantageous features.

If you are unsatisfied with your current annuity and believe switching to another is in your best interest, a rollover is required to move the money.

This decision should only be made after careful evaluation of the immediate and future ramifications of a rollover, and the suitability of both the current and proposed annuity products.

What Is the Collateral Assignment of a Life Insurance Policy?

Simply put, it means making a lender the beneficiary of your life insurance policy

Collateral assignment refers to the contractual designation of a company or other entity as beneficiary of a life insurance policy. This arrangement is fairly common among business owners in search of additional funds or credit.

Many lenders will consider the assignment of life insurance alongside other factors when evaluating creditworthiness for business financing applications. Some lenders even require an assignment of life insurance as a condition of loan approval.

When leveraged properly, a collateral assignment can help business owners obtain funding that would otherwise be unattainable.

Annuity Vs. Other Guaranteed Income Investments

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Choosing one type of guaranteed investment over another depends on your needs, financial capabilities and risk tolerance. Fixed annuities are retirement investment products that may suit your goals better than bank CDs or Treasury bonds. However, certain restrictions and limitations attached to annuities might not be present for other investment types. You must carefully evaluate the potential impact on your present and future financial stability before contributing money.

What Are the Negatives of Investing in a Fixed Index Annuity?

Make sure you know the potential downsides before investing in a fixed annuity

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Fixed annuities are available from countless insurance companies, and each product offers a plethora of features and advantages. Depending on your situation, a fixed annuity might seem the ideal place for your retirement money.

Before you purchase one, familiarize yourself with the potential downsides and make sure it's suitable for your goals, time horizon and risk tolerance.

Do I Need to Claim Earned Interest on My IRA or Annuity?

The type of retirement account you have determines your tax liability

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The type of annuity or IRA to which you contribute determines the tax treatment of contributions, growth and distributions. Traditional IRAs and the appreciation within them are viewed differently than identical money in a Roth IRA.

The same is true for accumulation and earnings in qualified versus non-qualified annuities. Prior to opening a retirement account or withdrawing money from one, become familiar with the type of account you have and the potential income tax ramifications of your actions.