ForeThought Income 150+ is a single-premium, fixed index annuity that’s designed with a unique income benefit to help Americans guarantee a lifetime annual income. This annuity product provides a generous income bonus, and is recommended for people who’re looking to retire within 5 years or so , accumulate a guaranteed lifetime income stream, and grow their investment based on a selected index. The income benefit of this annuity costs 0.95%, charged annually at the beginning of the contract year. Income 150+ has a 10-year surrender charge duration, with a provision for market value adjustment.
Income 150+ Annuity Facts
Issue Ages
The issue ages for this fixed index annuity is 55-80 years.
Min. and Maximum Premiums
The minimums single premium amount is $10,000. The maximum premium amount is $1 million.
Guaranteed Income Bonuses
- 20% of premium paid at issue
- 15% of premiums beginning year 3
- 15% of premium beginning year 5
- One Potential Income Bonus
- 150% of interest credited to your contract value starting year 10.
Minimum Guaranteed Contract Withdrawal Value (MGCWV)
The annuity’s MGCWV is 87.5% of all premiums paid, minus withdrawals and rider fees, compounded at a 3% interest.
Interest Crediting Method
Investors can allocate their fund to an interest crediting method of their choosing based on the S&P 500, BlackRock Diversa Volatility Control, and Barclays ARMOUR II Volatility Control.
Withdrawal Privileges
- Investors can withdrawal up to 10% of their contract value annually without any charges.
- IRS-imposed RMDs (Required Minimum Distributions) are waived from withdrawal fees.
- Systematic withdrawals are available.
Standard Death Benefit
After the death of the contract owner, a death benefit is passed to beneficiaries free of withdrawal charges and market value adjustment.
Nursing Home Waiver
If the contract owner is confined to a nursing home for minimum 60 consecutive days, they’re allowed access to their contract value without any withdrawal fees.
Terminal Illness Waiver
If the contract owner is diagnosed with a terminal ailment after the first contract year, they’re allowed access to their contract value without any withdrawals fees.
Potential Advantages
- Optimal Growth Potential – the ForeThought Income 150+ annuity offers an excellent growth potential with generous income bonuses.
- Investment Flexibility – investors can choose from several interest crediting methods.
Get your Annuity Right
Fixed index annuities are meant for people who’re looking to put together a feasible financial plan for retirement income needs. If you’re interested in the Income 150+ annuity or would like to compare it to other fixed index annuities, talk to one of our financial advisors.
