1 If the client is buying an annuity to fund a qualified retirement plan or IRA, they should do so for the annuity’s features and benefits other than tax deferral. Tax deferral is generally a feature of a qualified retirement plan or IRA, so an annuity would not provide an additional tax deferral benefit. References throughout this material to tax advantages, such as tax deferral and tax-free transfers, are subject to this consideration. The product described in this material is not made available to employer-sponsored qualified retirement plans. For non-qualified annuities, tax deferral is not available to corporations and certain other entities.
2 The Contract will automatically renew to the 3-year Guarantee Period, unless otherwise notified. Alaska and New Jersey will renew for a 1-year Guarantee Period with no withdrawal charge.
3 The 10-year option is not available in New York.
4 A limited Market Value Adjustment (MVA) will apply to all withdrawals in excess of the “free withdrawal amount” during the entire Guarantee Period and to annuitizations (except in each case during the 30-day period at the start of a renewal Guarantee Period). The MVA may be either positive or negative depending on the relationship between the current market interest rate and the interest rate in effect during the Guarantee Period. Generally, a decrease in market interest rates may result in a somewhat higher net amount payable upon withdrawal; rising interest rates may result in a somewhat lower net payment.
5 Nursing Home Waiver applies if you become confined to a nursing home and/or hospital for 90 consecutive days or more. The Terminal Illness Waiver applies if you are diagnosed with a terminal illness, with a life expectancy of 12 months or less.
6 Cash refund currently available but not listed in contract.
This product is a long-term investment designed for retirement purposes. Product availability and features may vary by state or firm.
Brighthouse Financial fixed annuities, like all annuities, are insurance products and not insured by the FDIC, the NCUSIF, or any other government agency, nor are they guaranteed by, or the obligation of, the financial institution that sells them. All contract guarantees and annuity payout rates are subject to the claims-paying ability and financial strength of the issuing insurance company. They are not backed by the broker/dealer from which this annuity is purchased, by the insurance agency from which this annuity is purchased, or any affiliates of those entities, and none makes any representations or guarantees regarding the claims-paying ability and financial strength of the issuing insurance company. Similarly, the issuing insurance company does not back the financial strength of the broker/dealer or any of its affiliates.
Like most annuities, annuities from Brighthouse Financial have charges, termination provisions, and terms for keeping them in force. Please contact your financial professional for complete details.
Withdrawals of taxable amounts are subject to ordinary income tax. Withdrawals made before age 59½ may also be subject to a 10% federal income tax penalty. Distributions of taxable amounts from a non-qualified annuity may also be subject to the 3.8% Unearned Income Medicare Contribution tax that is generally imposed on interest, dividends, and annuity income if your modified adjusted gross income exceeds the applicable threshold amount. Withdrawals will reduce the death benefit and account value. Withdrawals may be subject to withdrawal charges.
Any discussion of taxes is for general informational purposes only, does not purport to be complete or cover every situation, and should not be construed as legal, tax, or accounting advice. Clients should confer with their qualified legal, tax, and accounting advisors as appropriate.
All guarantees, including any optional benefits, are subject to the claims-paying ability and financial strength of the issuing insurance company. Each issuing insurance company is solely responsible for its own financial condition and contractual obligations.
Fixed Annuity FA is issued by Brighthouse Life Insurance Company on Policy Form 8210 (01/01/02) and, in New York only, by Brighthouse Life Insurance Company of NY on Policy Form 6210 (11/02) (“Brighthouse Financial”).
Brighthouse Financial® and its design are registered trademarks of Brighthouse Financial, Inc. and/or its affiliates.
