Important Estate Considerations for
Annuitants and Beneficiaries

Annuity owners can name a beneficiary or several beneficiaries to receive any of the remaining cash in a tax-deferred annuity when the annuitant dies.

In case of the death of the annuitant, the beneficiary or beneficiaries will receive the cash value in the tax-deferred annuity (gains will be subject to tax).

Because an annuity is a contract, if a beneficiary is named, an annuity is not subject to probate. This means that the beneficiary will receive the death benefit proceeds from the annuity without the expense, delay, frustration, and publicity of probate.

Annuity proceeds from a tax-qualified annuity, payable to the designated beneficiary, are reportable as income to the beneficiary^.1 To understand the income tax ramifications of inheriting or passing on an annuity, you should consult your tax advisor.

To find out more or get a price quote, click here to find a Beneficial agent near you. If you wish, a Beneficial financial professional can also help you analyze your situation and provide you with personalized options and solutions to help you reach your financial goals.

¹If the annuity is not tax-qualified, only the interest is reportable as income.

All products not available in all states.

Beneficial Financial Group's Advantage series tax-deferred annuities and single-premium immediate annuities are not available in all states. We recommend that you thoroughly read the annuity contract for actual governing contractual provisions and certain exclusions, limitations, reductions of benefits, and terms for keeping the annuity in-force. Beneficial Financial Group recommends that you consult your tax professional or attorney on specific points of interest to you.

Advantage Annuities: form 9-601-03.