We think so. That’s why several industry leaders—historically longtime competitors—came together to create a revolutionary solution: Income AmericaTM 5ForLife, a series of target date portfolios that provide guaranteed lifetime income. With Income America 5ForLife, a lifetime income guarantee of 5% per year, beginning at age 65, is built into the portfolios—offering protection against market uncertainty during retirement.
Enjoy knowing that all of your contributions and any market growth up to age 65 will be used to create a 5% guaranteed income for life
Contribute through payroll deductions, just like any other retirement investment
You can transfer your balance or withdraw your money, with no surrender fees or penalties
You can take your balance to another qualified plan or IRA and retain your guarantee
Combines a target date portfolio with guaranteed lifetime withdrawal benefit (GLWB)
Helps fiduciaries meet ERISA 404 requirements
Can be used as a standalone QDIA or in combination with another QDIA
Allows for easy transition to another recordkeeper
Important information: Guarantees are subject to the claims-paying ability of the issuing companies.
The income guarantee is based on the income base at age 65, which is set to the greater of your market value or your contributions (less withdrawals) to date. The market value of your account is never guaranteed and fluctuates based on investment performance. While you can withdraw the market value of your account at any time without any fees or penalties, doing so will cause you to lose the income guarantee. Your income base is never available for withdrawal, but is only used for calculating your income.
You will be able to elect to receive income any time after age 65. If you elect the joint option, your payout will be lower than 5%, depending on your and your spouse's ages. If you withdraw more than the guaranteed annual income in any year, your income base and future guaranteed annual income will decrease. However, if your required minimum distribution exceeds your guaranteed income amount, your income base will not be affected and your payments will not be lowered.
When you turn age 65 and at the time you elect to receive income, you must be invested in the 5ForLife In Retirement portfolio, and investment exchanges will be automatically implemented from any other 5ForLife portfolio to the 5ForLife In Retirement portfolio. If you make investment exchanges out of any 5ForLife portfolio, you may not make an investment exchange back into any 5ForLife portfolio within 90 calendar days.
You may be able to roll over your balance to another retirement plan that offers Income America 5ForLife and retain the income guarantee, or to an IRA or plan that offers an option to retain the income benefit base and payout rate; however, the retirement plan or issuing insurer's IRA solution may have different investments, fees, and other features.