Bill Would Let Seniors Take Retirement Funds Through Annuity

Written by Hersh Stern Updated Sunday, March 10, 2024

Retirees would be able to take a portion of their retirement savings in the form of an annuity if a bill introduced today by Rep. Earl Pomeroy, D-N.D., were passed into law.

Testimonial Image
Just bought my first SMA and was very happy to have gone through Immediate Annuities.com. I found them in an article in the Wall Street Journal. As a first time buyer, I had a lot of questions. But to their credit, they did a great job answering my questions directly or getting the right answers from the right people when they needed to.
Allen Boaman
Read 650+ verified reviews

H.R. 2748, the Retirement Security Needs Lifetime Pay Act, would adjust the Internal Revenue Code and allow a 50% tax exclusion from a non-qualified lifetime annuity for up to $10,000 a year.

Twenty-five percent of income payments from individual retirement accounts and qualified retirement plans — other than defined benefit plans — also would be tax-exempt.

Additionally, the bill would exclude the value of longevity insurance from amounts subject to required minimum distributions and would clarify the tax effect on payments from partially annuitized deferred annuities.

Mr. Pomeroy announced the bill’s introduction this morning at NAVA’s Government and Regulatory Affairs Conference in Washington.

The bill has been referred to the House Committee on Ways and Means.

NAVA, the variable annuity trade association, is based in Reston, Va.

We'd love to hear from you!

Please post your comment or question. It's completely safe – we never publish your email address.

Add a new comment: (Allowed tags: <b><i>)


Comments (0)

There are no comments yet. Do you have any questions?