Taxes

• Roth IRA
  On a separate note, include your association name, your account number and whether the contribution is for a Traditional IRA, Roth IRA or the Non-Qualified Deferred Annuity.

Planning

• Retirement Planning
  If you wish to make contributions greater than those permitted under IRA regulations, or if you are not eligible to establish a deductible IRA, you may want to participate in the Non-Qualified Deferred Annuity portion of the Supplemental Retirement Plan and have all of the advantages of this tax-deferred annuity plan for your retirement planning. There are no limitations on contributions. You may contribute as much as you wish at any time. Contributions are not tax deductible. However, interest earnings will accumulate on a tax-deferred basis, that is, no taxes will be assessed until earnings are withdrawn. Withdrawals are processed from interest first (IRS Regulations). IRS reporting requirements do not oblige you to indicate contributions to or current interest earnings on a Non-Qualified Deferred Annuity on your Form 1040 (done at time of withdrawal). There are no maximum age limitations for contributions or withdrawals.
• Annuities
  For participants with date of death on or after January 1, 2020, if the beneficiary is a surviving spouse, a minor child, a disabled or chronically ill individual, or less than 10 years younger than the decedent, they may transfer the IRA to their own name as a non-taxable event. They may also withdraw it, of course. In the case of a beneficiary not meeting the requirements noted above, they must withdraw the IRA within 10 years, and Non-Qualified Tax-Deferred Annuity within 5 years, following the death of the original owner's death. The portion of the account that would have been taxable to the owner is taxable to the beneficiary as regular income. Please contact your accountant or tax advisor regarding inherited deferred annuities.