- Annuities are funded with after-tax dollars, but the funds can come from practically any source, including other investments, retirement plan distributions or inheritances.
- The money accumulates tax-deferred, and generally only the earnings are taxed at withdrawal.
- If annuity funds are withdrawn before the owner is 59 1/2, the money is subject to an additional 10 percent federal income tax penalty.
- Non-qualified annuity contracts often have no federal contribution limits, and you don't have to take withdrawals at age 70 1/2.
Back to Top | Next
Ohio National is not affiliated with, nor does it endorse or sponsor, any particular prospecting, marketing or selling system.
