American Freedom Aspire 5
Highlights
Key Takeaways
- The American Freedom Aspire 5 is a long-term investment that offers a varying interest rate
- The annuity provides penalty-free withdrawals and guarantees return of principal
- Purchase of the annuity initiates with an initial deposit of $2000
- Safety measures such as a return of premium guarantee and principal protection are offered
- Payout options include a variety of lifetime income streams carefully crafted for each customer
- Annuity features waiver riders that cover extended care and terminal illness
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Premium Type
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Flexible Premium
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|---|---|
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Min age Qualified
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18
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Max age Qualified
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89
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Minimum Contribution
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$2,000
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Maximum Contribution
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$1,000,000
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Market value adjustment
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Return of premium
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|
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Free withdrawal
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10% |
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Launch date
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09/12/2016 |
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Types of funds
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Non-Qualified, IRA, IRA Rollover, IRA Transfer, TSA 403b, SEP IRA, IRA-Roth, SIMPLE IRA, 457 plan, and NQ Stretch |
Brochure
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Open brochure |
Pros and Cons of American Freedom Aspire 5
Pros
- The annuity offers an increasing interest rate
- A return of premium guarantee is provided
- Principal is safe regardless of market conditions
- Various payout options including lifetime income streams are available
Cons
- The annuity is intended for long-term, not suitable for short-term investors
- Early withdrawal may result in charges
- Additional premiums can only be added as a lump sum
- Penalties may apply for premature withdrawal of funds
For more information about submitting New Business applications, please contact the MassMutual Ascend sales desk directly at 1-888-504-7109 option 2
A fixed annuity offers:
- Growth with an increasing interest rate
The American Freedom Aspire 5 offers an increasing interest rate to help build your retirement savings. A base interest rate will be set for each purchase payment you make. Each year during the purchase payment’s five-year term, the interest rate will increase by 0.10%. - Return of premium guarantee
If the unexpected occurs, you can surrender your American Freedom Aspire 5 without penalty after contract year three. You’ll receive your purchase payments, minus withdrawals and any applicable taxes. - Safety of principal
Regardless of market conditions, you won’t lose the money you contribute to your annuity unless you take a withdrawal or surrender your contract during its early withdrawal charge period. - Guaranteed retirement income
When you’re ready to turn the money you’ve accumulated in your annuity into retirement income, you can select from a variety of payout options, including an income stream that will last for the rest of your life.
- Qualified: 0–89
- Non-qualified: 0–89
- Inherited IRA: 0–75
- Inherited non-qualified: 0–75
You can purchase this annuity with an initial purchase payment of $2,000 or more. You can add to your annuity at any time with additional purchase payments of at least $2,000. MassMutual Ascend only allows additional premiums to be added as a Lump Sum, Periodic Payments are not allowed.
Penalty-free withdrawals
During the first contract year, you may withdraw up to 10% of your purchase payments. After the first contract year, 10% of the account value on the most recent contract anniversary may be withdrawn. Amounts withdrawn in excess of the penalty-free withdrawal allowance may be subject to early withdrawal charges.
Find out if the American Freedom Aspire 5 is the right product for you.
MYGA Interest Rates
| Term |
Rate
Annual percentage yield (APY)
earned over the investment term |
|---|---|
| 5 years | 4.75% |
Riders
No Riders for American Freedom Aspire 5 annuity.
Waivers
Terminal Illness
Unavailable in states: MA
Provided that the diagnosis is rendered more than one year after the contract effective date, up to 100% of the account value can be withdrawn without deduction of an early withdrawal charge if the owner or joint owner is diagnosed by a physician as having a terminal illness with a prognosis of 12 months or less. This waiver may be used only once.
Extended Care
Unavailable in states: MA
To help ease the strain of certain unforeseen events, an extended care waiver is available for no additional charge. If the owner is confined to a nursing home or other long-term care facility after the completion of the first contract year for at least 90 consecutive days, early withdrawal charges may be waived on withdrawals up to a full surrender. The nursing home waiver does not include home health care.
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