All contributions to the Allianz Lifetime Income+® Annuity are made through your 401(k) plan account. Please contact your retirement plan provider to make or change allocations to your Allianz Lifetime Income+® Annuity. This page is only intended to help you understand the annuity as an option within your employer-sponsored plan.
[Narrator] What is the Allianz Lifetime Income+® Annuity? In simplest terms, it's an option within your organization's retirement savings plan to buy a fixed index annuity, one that provides you guaranteed income in retirement. The fixed index annuity is a contract with an insurance company. You allocate a portion of your 401(k) plan balance and future contributions to the annuity, and in return, you'll receive these benefits: Potential for your contributions to accumulate interest based on growth in one or more allocation options that helps build your future income potential. Protection from market downturns because unlike most other funds in a 401(k), your Allianz Lifetime Income+® Annuity does not actually invest in the market, so you can never lose value due to market downturns.
And with the lifetime income benefit that's automatically included at no additional cost, you can receive retirement income that's guaranteed for as long as you live, and that income will increase every time your allocation options earn more interest. All backed by the financial strength, stability, and careful risk management of a leading provider of insurance and annuities. And one last thing: If you change employers or leave the plan, you can take your Allianz Lifetime Income+® Annuity with you, and keep that guaranteed source of income for your retirement.
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Fixed index annuities are designed to meet long-term needs for retirement income. They provide guarantees against the loss of principal and credited interest, tax-deferred accumulation potential, and the reassurance of a death benefit for beneficiaries.
Any distributions are subject to ordinary income tax and, if take prior to age 59½, a 10% federal additional tax.
Although an external index may affect your contract values, the contract does not directly participate in any stock or investments. You are not buying any bonds, shares of stock, or shares of an index fund. It is not possible to invest directly in an index.
Guarantees are backed solely by the financial strength and claims-paying ability of Allianz Life Insurance Company of North America (Allianz).
• 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
Products are issued by Allianz Life Insurance Company of North America, 5701 Golden Hills Drive, Minneapolis, MN 55416-1297. (C64712-MVA)
Product and feature availability may vary by state and retirement plan
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Allianz Lifetime Income+® Annuity is a flexible solution designed to help you meet your long-term retirement goals, including growth potential, protection from market loss, and guaranteed retirement income.
As an FIA contract issued by an insurance company, contributions to Allianz Lifetime Income+® are not directly invested in stocks or bonds, keeping your allocations protected from market risk.
Your Lifetime Income Benefit provides an opportunity for increasing income to help address cost-of-living increases.
All guarantees, pricing and benefits carry with the contract if you change jobs or if your employer removes the benefit from your lineup.
Contribute at your own pace, and enjoy the power to decide when and how to take income either by yourself or as guided by professional advice.
Withdraw the full or a partial account value with no surrender charges. Taxes and Market Value Adjustment may apply.
Fixed index annuities do not directly participate in any stock, equity, or bond investments – so you’re not exposed to market risk. Instead, you can earn interest that’s based on changes in a market index (such as the S&P 500® Index). The annuity's value is allocated to one or more indexes. We then track the performance of these index(es). At the end of each contract anniversary, using a crediting method, we calculate any indexed interest that’s due. Please contact your plan administrator for more information on your allocation options.
Interest will be credited automatically to the contract. That interest is locked in and cannot be lost in the future due to any index decline.
Nothing happens – no interest is credited, but in this case, that’s good news. The annuity’s value will not decline due to a loss.
A fixed interest allocation is also available using a rate we establish at the beginning of each contract anniversary. Interest is credited daily. And again, interest can never be lost due to market drops.
[Narrator] How is interest credited? First off, you should know that, as a fixed index annuity, the Allianz Lifetime Income+ Annuity doesn't directly invest in the market, so any interest you receive can never be lost due to market drops. With that in mind, there are two ways that your contributions have the potential to accumulate interest. You could receive indexed interest, which is the interest that's based on the performance of an external market index, such as the S&P 500. Each year, on your contract anniversary, we look at your current index value, and if the index shows a positive return, your index interest is automatically calculated according to the terms for that index allocation. It may include a participation rate, which is the percentage of the index's return that you'll receive, or a cap, which is the maximum amount of interest you can receive in one period.
If the index shows a negative return, you won't receive any interest, but you won't lose anything due to the negative return either, and that will be the point where we can start measuring index gains over the next year. That means you never have to make up for any lost value before you can start earning more interest. The second way you can accumulate interest is by receiving fixed interest. This is credited to you on a daily basis using one consistent interest rate that is established at the beginning of each contract year. Whether it's fixed interest or indexed interest, remember, any and all interest you receive is locked in and cannot be lost in the future due to any market loss.
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Product fees and any additional-cost riders will reduce the contact's values. This may result in a loss of principal and interest in any year in which the contract does not earn interest or earns interest in an amount less than the fee accessed.
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And because you don't pay taxes on any earned interest until withdrawals occur, you'll have more to take advantage of any future market gains in your Allianz Lifetime Income+ Annuity.
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Fixed index annuities are designed to meet long-term needs for retirement income. They provide guarantees against the loss of principal and credited interest, tax-deferred accumulation potential, and the reassurance of a death benefit for beneficiaries.
Although an external index may affect your contract values, the contract does not directly participate in any stock or investments. You are not buying any bonds, shares of stock, or shares of an index fund. It is not possible to invest directly in an index.
Any distributions are subject to ordinary income tax and, if take prior to age 59½, a 10% federal additional tax.
Guarantees are backed solely by the financial strength and claims-paying ability of Allianz Life Insurance Company of North America (Allianz).
• 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
Products are issued by Allianz Life Insurance Company of North America, 5701 Golden Hills Drive, Minneapolis, MN 55416-1297. (C64712-MVA)
Product and feature availability may vary by state and retirement plan
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Throughout your working years and in retirement, the Allianz Lifetime Income+® Annuity gives you opportunities to increase income to help address the effects of inflation with a pair of features called Income Builder and Income Accelerator. These features only apply to the Lifetime Income Value, which is used to determine your lifetime withdrawal amount when you’re ready to start receiving income. You cannot take the Lifetime Income Value as a lump sum.
Note, the 150% Income Accelerator and 2% Income Builder credits shown below are for illustrative purposes only. Features and amounts may vary by plan.
Even before you retire, Allianz Lifetime Income+® Annuity and the Lifetime Income Benefit work to support your retirement income objectives with a pair of features to enhance your Lifetime Income Value:
Income Accelerator: Any interest earned (indexed or fixed) is multiplied by 150% and added to the Lifetime Income Value on the contract anniversary.
Earned Interest x 150% = Income Accelerator
Income Builder: Whether or not any interest was earned (indexed or fixed), an annual 2% credit is applied to the Lifetime Income Value on the contract anniversary. This guaranteed growth begins at age 50 and continues until you are ready to start receiving lifetime withdrawals.
When you are ready to retire and start taking income (at age 60 or older), Allianz Lifetime Income+® is designed to use the Lifetime Income Value you’ve been building.
Through lifetime withdrawals, income is guaranteed for as long as you live, along with the continued potential for increases. Every time chosen allocations earn interest, income will increase.
Not only that, Income Accelerator will continue to increase income by 150% of any interest earned on the contract anniversary.
We believe guaranteed products should deliver on their promises regardless of changing circumstances. All benefits, guarantees, and pricing carry with your contract, even if you change jobs or your employer removes the annuity from your benefits lineup. That’s staying true to our promises.
Contact your retirement plan provider to explore annuity conversion options available for your plan.
The Allianz Lifetime Income+® Annuity gives you the power to decide when and how to take income, either by yourself or as guided by professional advice.
Choose when income starts at age 60 or older.
Pause income payments. Any paused payments can be taken later on.
Withdraw account value with no surrender charges. Market Value Adjustment may apply.
There are multiple reasons why you may need access to the cash value of your account. That’s why we designed the Allianz Lifetime Income+® Annuity with a built-in Guaranteed Lifetime Withdrawal Benefit (GLWB), which allows you to begin receiving annuity payments without having to give up access to the remaining cash value.
In the event you need it, you can access the full cash value of your annuity. The cash value is the accumulation value adjusted for the Market Value Adjustment (MVA). If there have been no contributions for more than 10 years, the MVA is no longer applicable, and you can access the full accumulation value of your account. Note that the accumulation value is different from your lifetime income value, which is used to determine your lifetime withdrawals. Withdrawals are subject to ordinary income taxes and, if taken prior to age 59½, a 10% federal additional tax.
Please contact your retirement plan provider to discuss making withdrawals from your defined contribution plan.
If you’ve left your employer’s plan, you can request a full or partial withdrawal after you have activated income. Please log in and fill out a withdrawal request form. Market value adjustment and taxes may apply. In the event that your assets are still with your former employer’s plan, please contact your plan administrator to discuss withdrawal options.
Contact your employer’s retirement plan administrator about any support offered by your plan to determine how it might fit into your defined contribution plan.
This content is for general educational purposes only. It is not intended to provide fiduciary, tax, or legal advice and cannot be used to avoid tax penalties; nor is it intended to market, promote, or recommend any tax plan or arrangement. Allianz Life Insurance Company of North America, its affiliates, and their employees and representatives do not give legal or tax advice or advice related to Social Security or Medicare. Customers are encouraged to consult with their own legal, tax, and financial professionals for specific advice or product recommendations, or the Social Security Administration (SSA) office for their particular situation.
The Income Builder credit and the Income Accelerator credits are credited only to the Lifetime Income Value (LIV). To receive the LIV, including the Income Builder and Accelerator credits, you must be at least age 60, and lifetime income withdrawals must be taken. The LIV is not available as a lump sum. You will not receive the Income Builder and Accelerator credits if the contract is fully surrendered or if traditional annuitization payments are taken. If it is partially surrendered the LIV will be reduced proportionally, which could result in a partial loss of the interest credits. Income withdrawals are considered partial withdrawals and are subject to ordinary income tax and, if taken prior to age 59½, a 10% federal additional tax.
Fees and charges may still reduce your contract value.
Increasing income is provided through a built-in rider at no additional cost.
Withdrawals are subject to ordinary income taxes 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.
• 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
Products are issued by Allianz Life Insurance Company of North America, 5701 Golden Hills Drive, Minneapolis, MN 55416-1297. (C64712-MVA)
Product and feature availability may vary by state and plan.
This content does not apply in the state of New York.
