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Why you need a strategy to address the rising cost of living

A fixed income may fall short over time.

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Our increasing income potential can help your income strategy stay strong

Because retirement may last 25 to 30 years (or longer), it’s important to have a source of guaranteed income for life. Fixed index annuities (FIAs) can provide this – plus principal protection from market downturns, accumulation potential, tax deferral, and a death benefit for beneficiaries.

But a fixed income may not be sufficient if expenses rise with inflation, especially over a long retirement. That’s why it’s important to also have opportunities for income increases.

Allianz Life Insurance Company of North America (Allianz) is a leader in providing annuities that offer the potential for increasing income. In fact, we were the first to offer a withdrawal option that could increase every time the annuity earned an interest credit.1

Our history of giving income increases2

95%

of our clients who chose our increasing income option have received an increase.3

41%

of our clients who are receiving income have received an increase every year.3

86%

of our clients with multiple increase opportunities have received an increase more than once.4

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See why a fixed income may not be enough

If you are living on a level or fixed income, as inflation and medical expenses go up, you may be forced to make uncomfortable decisions on what you can continue to afford. Not just big purchases – but the little things that make retirement more enjoyable, too.
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We are living longer

Retirement could potentially last 25 or 30 years, or even longer.
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The cost of living will increase

Everything you buy today could cost about twice as much in 25 years.
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With Allianz® FIAs, income increases are permanent

With Allianz® FIAs, your lifetime income payments will continue for the rest of your life, as long as you follow the terms of your contract. And every time you get a payment increase, that new higher payment is guaranteed for the rest of your life.

How it works

  • Straightforward design allows your payment to increase every time interest is credited – and by the same percentage.
  • No decreases – ever. With each increase, you’re guaranteed to receive the higher payment for the rest of your life as long as you follow the terms of the contract.
  • More opportunities to increase income since this payment option eliminates the need to overcome fees, index losses, previous income payments, or even a depleted contract value.
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Explore potential solutions

Learn more about our fixed index annuities that offer the opportunity for income increases.
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Allianz 360™ Annuity
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Core Income 7® Annuity
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Retirement Foundation ADV® Annuity
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Do you have a plan to address the rising cost of living?

Talk to your financial professional about how you can keep your income as strong tomorrow as it is today.

1 Increasing income potential is provided through built-in or additional-cost riders. To be eligible for increasing income payments through withdrawals, you must choose a payout option offering increasing income and meet all contract conditions (which may include a deferral period or minimum age requirement), which will vary based on the terms of the specific product selected. There is no guarantee that your contract will receive an increase in any given year.

2 Analysis parameters: 60,246 fixed index annuity contracts were used for the analysis in this material, and represent contracts which elected an increasing income withdrawal option from 1/1/08 through 12/31/23, and would have been eligible to receive interest credits from 1/1/09 through 12/31/24. Increases displayed were taken from multiple products and income benefits/riders that were available at that time. The amount of the increase was determined by the interest credited by their chosen allocation option(s). These allocations include a wide variety of indexes and crediting methods. This data includes all allocation methods selected during that time, including the fixed allocation. Individual contracts may have seen varying amounts of income increases. Contracts that took excess withdrawals were excluded because they were not eligible for increases in all years. Past income payment increases and interest credits are not a guarantee of future results.

3 The percentage of contracts that received an increase of any amount in a given year. 60,246 contracts were used for this analysis.

4 The percentage of contracts with more than one opportunity to increase. 48,896 contracts were used for this analysis.

Although an external index may affect interest credited, you cannot purchase, directly participate in, or receive dividend payments from any of them through the fixed index annuity contract.

Any distributions are subject to ordinary income tax and, if taken prior to age 59½, a 10% federal additional tax.

Guarantees are backed by the financial strength and claims-paying ability of Allianz Life Insurance Company of North America.

Products are issued by Allianz Life Insurance Company of North America, 5701 Golden Hills Drive, Minneapolis, MN 55416-1297. 800.950.1962

• Not FDIC insured • May lose value • No bank or credit union guarantee • Not a deposit • Not insured by any federal government agency or NCUA/NCUSIF

Product and feature availability may vary by state and broker/dealer.

This content does not apply in the state of New York.

This material must be used with the Understanding fixed index annuities brochure (M-5217) or the applicable fixed index annuity consumer brochure.