RMD Contributions
What is an RMD?
Required minimum distributions (RMDs) are minimum amounts that U.S. tax law requires one to withdraw annually from traditional IRAs and employer-sponsored retirement plans.
What is the difference between qualified and non-qualified annuities?
A non-qualified annuity is funded with post-tax dollars.
A qualified annuity is funded with pre-tax dollars.
What Plans do we service? (name one).
Allstate RightFit Annuity, Allstate Choice Plus, Allstate Choice Rate Annuity.
What screen allows me to the Tax information of an annuity policy?
27/200
What is the age an individual is required to take RMD's
72 years old.
Qualified annuities are often set up by?
Employers as part of a company-sponsored retirement plan.
What type of plan is Allstate Choice Plus?
Flexible Premium Deferred Annuity
On what screen can I use the tax field to see if a policy is Qualified or Non-qualified?
21/2 in the tax field
What types of annuity policies have an RMD rule.
Non-qualified: IRA, 401k, 403b,403a
An annuity can be qualified if it meets.
Certain IRS criteria and follows its regulatory guidelines.
What type of annuity is Allstate Rightfit Annuity plan?
Single Premium Deferred Indexed Linked Annuity.
What is the 21/6 screen?
It can be for product specifics. (Not all annuity contracts will have a 21-6 screen).
RMD distributions is based on what?
fair market value
Once that interest has been fully taxed, the remaining principal or premium will be?
Tax free
Accelerated Payment Liquidity Rider provides?
Up to 12 months of payments discounted at a rate determined at issue (~6%) ahead of normal schedule.
How would you look at the RMD History on a policy?
27/210 screen and then hit f6.
If an RMD is not fully taken then what could happen?
They can be subject to a federal penalty.
What is a qualified annuity?
A benefit plan that is a savings vehicle that commits the company to a specific payment, whether in a lump sum or in monthly installments, based on the employee's earnings history.
What is the Minimum remain value (After withdrawal) on a Guaranteed Annuity Payment Liquidity Rider?
Benefits of $100 per payment
On non-qualified contracts, you can also use what key from the main 24-D screen to see the cost basis, tax status and if the contract has been aggregated.
F7