The Eleos - MVA is a Single Premium Deferred Annuity with a Market Value Adjustment. The minimum initial contribution is $10,000. There is an annual 10% free withdrawal of the paid premium in year one and accumulated account value thereafter. Systematic Withdrawal is an option. Surrender charges are five years in duration and are waived in the event of admittance into a Hospital or Nursing Home (this rider is automatically issued when the annnuitant is 74 or younger at issue; surrender and MVA are waived up to 25% after the first contract year). Withdrawals and taxable distributions may be subject to ordinary income tax and if made prior to age 59 1/2, may also be subject to a 10% federal income tax penalty. Early surrender charges may also apply. Guarantees based on claims paying ability of insurer. Products / features may not be available in all states. This is an annuity contract issued by an insurance company and not a bank product protected by the FDIC.
Age 0-75 - $1,000,000
Age 76-85 - $500,000
(premium over thresholds above require prior approval.)
Accessing Your Money Prior to Maturity For maximum flexibility, you can access money in your annuity from the first day of your contract. You can withdraw up to 10% of your premium in the first year and 10% of your annuity value each year thereafter with no surrender charges. Withdrawals from your annuity, other than one of the Income Options shown on this page, will be considered to have been distributed from your interest earnings or amounts includible in income first and subject to ordinary income taxes and then a non-taxable return of principal. In addition, a 10% Federal penalty tax on the earnings may apply on withdrawals made before age 59-1/2.
Life annuity—A monthly income payable over the annuitant’s lifetime.
Life annuity with payments certain—A monthly income payable over the annuitant’s lifetime with the additional guarantee that in the event of death prior to the end of the specified period (such as 5, 10 or as long as 20 years), payments will continue to your designated beneficiary for the remainder of the specified period.
Designated period annuity—A monthly income payable in equal installments for a specified period (such as 5, 10 or as long as 20 years).
Joint and last survivor annuity—A monthly income payable over the lifetime of an annuitant and thereafter during the lifetime of a designated surviving annuitant.
Death Benefit Your annuity contract’s death benefit is payable to your beneficiary upon your death. If you are also the annuitant, then your policy’s death benefit will be equal to the annuity’s value. If the annuitant is someone other than you, the policy’s death benefit is equal to the annuity value less any applicable surrender charges.
Market Value Adjustment A market value adjustment occurs when you make early withdrawals from your annuity exceeding the penalty-free amount or request a full surrender of your annuity within the first five years of your contract. A market value adjustment increases or decreases your annuity value based on the difference between current interest rates and the interest rate in effect when your contract was issued. If current interest rates are more than 0.5% lower than the base interest rate of your contract, your annuity value will receive a positive adjustment should you decide to make an early withdrawal where the market value adjustment applies. If current rates are higher than the base interest rate, your annuity value will receive a negative adjustment. However, your annuity value will never be less than the premium you paid, minus any withdrawals accumulated at the minimum guaranteed interest rate, less surrender charges.
Funding Your Annuity
IRA rollovers & transfers -- All of our fixed annuities can be purchased as Traditional Individual Retirement Annuities with rollover funds from qualified employer plans or rollovers or transfers from existing IRA accounts with other financial institutions
Roth IRA conversions--All of our fixed annuities can be purchased as Roth Individual Retirement Annuities and can be used to convert Traditional IRAs to Roth IRAs
TSP funds have to be rolled into an IRA.
Reliance Standard only issues Inherited IRA annuity contracts under the following qualifications:
The Beneficiary (new owner) must be the original (1st Generation) beneficiary of the deceased Traditional/SEP IRA Owner.
The Beneficiary (new owner) must be age 65 or younger.
The original Traditional/SEP IRA Owner’s Date of Death may be no more than five years from the application date.
The original Traditional/SEP IRA Owner’s Date of Death must have occurred prior to January 1, 2020.