Under a special exception to the distribution at death rules, if the beneficiary is the surviving spouse of the owner, the annuity contract may be continued with the surviving spouse as the owner. If the owner of the annuity is a non-natural owner, then the annuitant's death triggers the ...
As with other tax-deferred accounts intended for retirement, variable annuity withdrawals of any kind—whether a single withdrawal or a stream of monthly payments—taken before age 59½ are subject to a 10% early withdrawal penalty on the taxable portion of the payment. The penalty does not a...
Anexecutive bonus planis a non-qualified plan that employers use to grant special compensation to key executives. An employer's contribution to an executive bonus plan is considered the executive's salary and is subject to taxation. The executive bonus plan is used by an employer to retain and...