The basic rule for taxing annuity payments (i.e., “amounts received as an annuity”) is designed to return the purchaser’s investment in equal tax-free amounts over the payment period (e.g., the ...

Tax nuances are a complex part of any financial tool you rely on for retirement. Take a 401(k) plan as an example. These types of retirement plans are tax-deferred. This... Tax nuances are a complex ...

Annuities are financial products that give you a steady income stream when you retire. You can contribute to these insurance products with tax-free dollars and then pay taxes when you receive ...

One of the biggest advantages of an annuity, tax deferral, can be lost when anyone other than a spouse inherits an annuity. Then, all deferred taxes on the gains must be paid sooner or later. It’s ...

Yes, except to the extent the amounts are a recovery of the employee’s investment in the contract including the amount of a defaulted loan or to the extent the employee rolls over an eligible ...

A non-qualified stretch annuity extends the payout of an inherited annuity over time, rather than receiving the full amount in a single lump sum. While qualified annuities (such as those within IRAs ...

It’s no secret that annuities play a pivotal role in retirement planning, providing a steady income. Despite certain tax advantages, annuity taxation has several intricacies that must be understood ...

The new deduction can lower your taxable income and thus your combined income. It's estimated that 90% of seniors will now pay no federal income tax on their Social Security benefits. Some other ...

Life insurance and annuities allow individuals to invest tax-deferred, but they pay policyholders differently. Learn how each works.

Ashley Donohoe is a personal finance writer, Financial Planning and Wealth Management Professional and Certified Financial Education Instructor based in Cincinnati. She covers banking, loans, ...