NEW EXECUTIVE SUMMARY: Consider Leveraging Today’s Lower Income Tax Rates with a Roth IRA Conversion
Help Clients Design a Tax-Efficient Retirement
The ever-changing economic landscape and the likelihood of higher tax rates in the future make tax-efficient retirement strategies more important than ever.
Roth IRA conversions of eligible qualified funds can offer significant benefits. And incorporating fixed index annuities (FIAs) from Allianz Life Insurance Company of North America (Allianz) into the strategy can amplify the power of guaranteed retirement income potential.1
Download the executive summary and explore how Allianz can help provide your clients with tax-free income in retirement.
Fixed indexed 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.
1 Converting an employer plan account or traditional IRA to a Roth IRA is a taxable event. Increased taxable income from the Roth IRA conversion may have several consequences including (but not limited to) a need for additional tax withholding or estimated tax payments, the loss of certain tax deductions and credits, and higher taxes on Social Security benefits and higher Medicare premiums.
It is generally preferable that clients have funds to pay the taxes due upon conversion from funds outside of their IRA. If they elect to take a distribution from their IRA to pay the conversion taxes, please keep in mind the potential consequences, such as an assessment of product surrender charges or additional IRS penalties for premature distributions.
Be sure clients consult with a qualified tax advisor before making any decisions regarding IRAs. Please note that Allianz Life Insurance Company of North America, its affiliated companies, and their representatives and employees do not give legal or tax advice. You are encouraged to consult your tax advisor or attorney. State and local income taxes may apply.
Any distributions are subject to ordinary income tax and, if taken prior to age 59½, a 10% federal additional tax.
Products are issued by Allianz Life Insurance Company of North America, PO Box 59060, Minneapolis, MN 55459-0060.
Annuity guarantees are backed solely by the financial strength and claims-paying ability of Allianz Life Insurance Company of North America.
For financial professional use only – not for use with the public.
Product and feature availability may vary by state and broker/dealer.