Amplify Your Retirement with Tax Deferral

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If you own a CD, you are missing out on powerful tax benefits that could cost you thousands of dollars in retirement. 

Interest on CDs is considered income and is taxed in the year it is earned, regardless if a distribution is made or not.  

With an annuity, you can amplify your retirement savings and create greater wealth thru tax deferral.

Tax deferral allows gains in an annuity to continue to grow until earnings are distributed. During this deferral period, you will receive: :

  1. Interest on your principal

  2. Interest on interest

  3. Interest on the taxes you would have had to pay if earnings were taxed on an annual basis

This triple compounding can have a huge impact on your retirement savings. 

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Ending balance

$574,349 Tax-deferred annuity (before tax)

$469,992 Tax-deferred annuity (after tax) 

$394,377 Taxable CD (taxed annually) 

Due to tax deferral, the annuity will accumulate $21,092 more than the taxable CD account after just 10 years and $179, 978 after 30 years. Even after taking taxes into account, the tax-deferred annuity value is still $75,615 greater than the taxable CD account!  Can you afford to lose $75,615?

Don’t leave your retirement money on the table!

You can save thousands of dollars and amplify your retirement by taking advantage of tax deferral benefits found in an annuity.

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Reference: https://www.bourbonfm.com/blog/taxable-vs-tax-deferred-investing-over-30-year-timeframe

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With an annuity, you can amplify your retirement savings and create greater wealth through tax deferral.

 

The tax-deferred annuity value is still $75,615 greater than the taxable CD account

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