One of my uncles is using his annuity to pay back some of his debts since he has retired and doesn't have much income. But, I want to know, is it ok to do it?
I
won't recommend that. I would suggest you to get part-time job instead.
Money withdrawn from an annuity is taxed just like a normal income.
Plus, the insurer who holds your annuity may charge a withdrawal fee,
and that can be as high as 7%. So you have to pay a significant amount.
I
would agree with Nick. Money taken from annuity can be taxable as a
normal income.
The insurance company may also charge you a withdrawal fee as much as
7%. So, the costs will be higher.
![DebtConsolidationCare [A+ on BBB] Logo](/sites/www.debtconsolidationcare.com/themes/bootstrap_forums_subtheme/forums/images/dtcc-logo.png){kind=logo}
Money withdrawn from an annuity is taxed just like a normal income. Plus, the insurer who holds your annuity may charge a withdrawal fee, and that can be as high as 7%. So you have to pay a significant amount.
Sub: #1 posted on Mon, 06/03/2019 - 00:39
(Posts: 425 | Credits: )
Sub: #2 posted on Fri, 06/07/2019 - 04:46
(Posts: 1220 | Credits: )
Sub: #3 posted on Mon, 06/10/2019 - 17:45
(Posts: 1 | Credits: )
The insurance company may also charge you a withdrawal fee as much as 7%. So, the costs will be higher.
Sub: #4 posted on Tue, 06/11/2019 - 02:58
(Posts: 467 | Credits: )