Annuities

yes it is

Well, definitely...maybe. Under KRS 140.050, one-half of the decedent's share of the account is considered as being transferred to the survivor, and would be otherwise subject to Kentucky inheritance tax. However, Kentucky's inheritance tax is levied only on certain classes of recipients. Essentially, if the recipient is a spouse or blood relative, all of the interest received by such person is exempted from the tax. KRS 140.080 Ultimately, the intheritance taxation on the transfer of the assets of such accounts boils to the nature of the relationship between the decedent and the survivor.

An individual has the right to choose the beneficiary on their annuity.

You need to get a copy of your Mother's will to prove that you are an executor of her estate. If there is no will you need to apply for an appointment as an executor so that you can handle her estate matters.

To calculate the present value of an annuity, you can use the formula:

[ PV = P \times \left( \frac{1 - (1 + r)^{-n}}{r} \right) ]

where ( P ) is the annual payment, ( r ) is the discount rate, and ( n ) is the number of years. For an annuity of $2,500 per year for 10 years at a 7% discount rate, the present value is:

[ PV = 2500 \times \left( \frac{1 - (1 + 0.07)^{-10}}{0.07} \right) \approx 2500 \times 8.5302 \approx 21,325.50 ]

Thus, the present value of the annuity is approximately $21,325.50.

Was not too hard for me to do it.

There are probably several ways, this is what I did:

First, call a local Knights of Columbus insurance agent. Don't know where? Go to their website - www.kofc.org and look under the Insurance section. There is a Find An Agent search for your area.

Second, have the agent mail you the Surrender Life Insurance Policy form.

Third, complete the form. You will need your original Policy or regular statement (for member #, issuing agent, council # etc.).

NOTE: You have to sign it, either in front of an KofC Agent or a Notary. I paid $3 to get it notarized at UPS Store nearby- not that big a deal.

Fourth, mail it back to the Agent. OR if you are sure it is completed correctly you can mail it to KofC... OR fax it to KofC directly.

If this sounds hard or complicated, there may be an easier way. Call that local agent in your area, or call the HQ directly and ask at (203) 752-4000 and select the customer service option for Insurance.

it's 30 days

An annuity can be a good investment under the right circumstances, however most annuities are designed to be sold, not bought. They are often the investment of choice offered by banks and other commissioned based investment companies as they are among the highest commission paying products. Brokers can earn more than 10% commissions on annuities, which is why there is normally a substantial surrender fee should the investor decide to cash out early. However, there are some annuities that don't have any sales charges, and therefore don't have any early surrender fees. Before making any investment decision, consult a financial advisor to be sure that the advice you are getting is appropriate for your individual situation.

Yes, but only if it pertains to creditor judgments. Such benefits are not exempt from attachment when it relates to child support (and arrearages) tax liabilities, and in some situations personal injury liability judgments. FYI, to have exempted benefits fully protected never commingle them in an bank account that holds other monies.

Qualified dividends are taxed at flat capital gains tax rate (currently 15%) while ordinary dividends are taxed as ordinary income, depending on an individual's specific tax bracket. For dividends to be considered qualified, they have to be absent form the IRS unqualified dividend list and the underlying stock that pays the dividend must be held for a specified by IRS holding period (more than 60 days during the 120-day period beginning 60 days before the ex-dividend date, and for preferred stock, the holding period is 90 days during the 180-day period beginning 90 days before the stock's ex-dividend date). Examples of dividends that do not qualify are:

- Dividends paid on money market accounts

- Dividends from mutual funds attributable to interest and short-term capital gains

- Dividends from real estate investment trusts (REITs)

- Dividends received in your IRA

When the value of money decreases (inflation)

The federal government began taxing Social Security annuities in 1984, after Congress passed amendments to the Social Security Act in early 1983, and President Reagan signed the legislation into law in April of that year.

The 1984 rule allowed 50% of a person's annual Social Security income to be taxed, if that person's total taxable income reached a certain threshold.

Alan Greenspan, who later became Chairman of the Federal Reserve, recommended the change.

For more information, see Related Links, below.

It really depends on which state you live in. Every state has different rules about who can garnish what types of income. Most states do not allow 401K or annuities to be garnished for any reason.

Contact the company from which the annuity was purchased and find out what restrictions, penalties and other fees will be involved in cashing out early. You can probably do it, but it will cost you. You have to decide if it worth the value you will sacrifice by closing the account early.

Annuity is fixed sum of money paid every year in at any other fixed interval shorter than a year. This annuity may be by way of return of some principal plus interest payment of against money invested or by way of payment of other dues such as pensions after retirement. In any case it represents out flow of cash from one account to in flow of cash to another account. In this way all annuities involve movements of cash or funds. Therefore all annuities are cash flows that can be suitably represented in cash flow statements.

An annuity will be represented as inflow of cash in the cash flow statement for the recipient of the annuity and out flow of cash in the cash flow statement of the person or firm paying out the annuity.

I know that some pension plans are funded with Annuities. Basically an annuity is a retirement vehicle that you contribute to and then when you retire, that annuity is then "annuitized", meaning you start to receive payments. But it provides a safe way to invest your money, because they usually have guaranteed interest rates.

Travelers Life and Annuity Headquarters address:

385 Washington Street

Saint Paul, MN 55102

United States

Phone: 651-310-7911

Fax: 651-310-3386

As far as I checked there is no place where a person could get it, maybe only a company through Citibank provided you have an account with them.

How do you apply for the matured age pension from a company that closed in 1987?

Not enough information is given. There are instances where a public emplyee's pension/annuity was forfeited due to their criminal activity. However, regarding a private retirement/annuity, I am not so certain.

CNX stands for CRISIL NSE Indices. CNX ensures common branding of indices, to reflect the identities of both the promoters, i.e. NSE and CRISIL. Thus, 'C' stands for CRISIL, 'N' stands for NSE and X stands for Exchange or Index. The S&P prefix belongs to the US-based Standard & Poor's Financial Information Services.

Assuming that the annuity in question is a "deferred" annuity (that is, that it is not already providing regular annuity payments), the answer depends upon whether you're over 59 1/2 or not. If you're not, any distributions from that annuity will be taxable as Ordinary Income AND subject to a 10% penalty tax - 10% of the amount of the distribution (IRC Sect. 72(q)). Not a very attractive result. If you're over 59 1/2 and still attending school, BRAVO! But the distribution from your annuity will still be taxable (but without that 10% penalty tax).

If you use a tax preparation program, it will ask you the source of the payments and the amounts and it will sort out the tax amounts owed. The system will recognize which are taxable and so on from the information you enter. Otherwise, a visit to your tax accountant will help you with this.

Only if your taking an income stream from it. A way around this would be to move the funds into a single premium whole life product and borrow from the life insurance policy. A little loop hole for you ;)