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Life insurance annuity question?
joonwatch
Posts: 9 Forumite
Life insurance annuity question?
Hi all,
I know we have some pretty money/tax savvy ladies on here and I could use your advise. Prior to us being married, DH signed up for a IRA annuity with a life insurance company (not sure if I can list the name of company?).
From the most recent statement, he opened this acct 8.5 years ago. Premiums paid shows $6234 - apparently this is what he has paid into it??? Current value is $8414. Now I don't think that is very good growth after 8.5 years but maybe I am wrong.
Cash surrender value is $6260. This thing appears to have all sorts of strings attached. I know if we cash out, we will be hit with the 10% IRS penalty. Also, if we go the lump sum route, we will be subject to the cash surrender value.
We are trying to figure out if we should bite the bullet and get out of this annuity. Not going to sugarcoat it - the extra cash would be helpful as we are cash flowing an adoption. Anyone have experience with this and could offer any pointers - is it worth it to cash out or just sit on it for the next 30 years till we are of age?
Thanks!
Hi all,
I know we have some pretty money/tax savvy ladies on here and I could use your advise. Prior to us being married, DH signed up for a IRA annuity with a life insurance company (not sure if I can list the name of company?).
From the most recent statement, he opened this acct 8.5 years ago. Premiums paid shows $6234 - apparently this is what he has paid into it??? Current value is $8414. Now I don't think that is very good growth after 8.5 years but maybe I am wrong.
Cash surrender value is $6260. This thing appears to have all sorts of strings attached. I know if we cash out, we will be hit with the 10% IRS penalty. Also, if we go the lump sum route, we will be subject to the cash surrender value.
We are trying to figure out if we should bite the bullet and get out of this annuity. Not going to sugarcoat it - the extra cash would be helpful as we are cash flowing an adoption. Anyone have experience with this and could offer any pointers - is it worth it to cash out or just sit on it for the next 30 years till we are of age?
Thanks!
0
Comments
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As you've been advised on other threads, I suggest you find a US site as UK law/products are different and we're unlikely to be able to help you.I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.0
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