- FINANCIAL PLANNING
- OUR BANK
Your company may allow you to receive your 401(k) account balance as an annuity. Another option is to compare your company's annuity offer to a single premium immediate annuity available through an insurance company. The single premium immediate annuity must qualify as an individual retirement annuity. As long as you do a direct rollover, your 401(k) account retains its tax-deferred status.
IMPORTANT NOTE: The annuity contract must meet certain requirements to qualify as an individual retirement annuity. Check with the insurance company or your investment representative to make sure the annuity contract you purchase qualifies for a direct rollover.
Assuming all of your 401(k) contributions were made with pre-tax dollars, each payment from your company annuity, is taxable as ordinary income when received. If you made any after-tax contributions, a portion of each payment is received tax-free.*
*federally tax-free, may be subject to state and local taxes
Securities and advisory services are offered through LPL Financial (LPL), a registered investment advisor and broker-dealer (member FINRA/SIPC). Insurance products are offered through LPL or its licensed affiliates. Heartland Bank and Heartland Planning Associates are not registered as a broker-dealer or investment advisor. Registered representatives of LPL offer products and services using Heartland Planning Associates, and may also be employees of Heartland Bank. These products and services are being offered through LPL or its affiliates, which are separate entities from, and not affiliates of, Heartland Bank and Heartland Planning Associates. Securities and insurance offered through LPL or its affiliates are:
|Not Insured by FDIC of Any Other Government Agency||Not Bank Guaranteed||Not Bank Deposits or Obligations||May Lose Value|