IRA Accounts and Annuities
What is it?
IRA accounts and annuities are designed to help people accumulate money to supplement their retirement. IRA contributions are tax-deductible and tax-deferred. Contributions to a fixed annuity are deferred, will not pay taxes until the money is withdrawn, and the death benefit is not subject to tax payments under Inheritance Law ccc.
Any person under 75 years of age at the end of the tax year, who receives earnings attributable to a profession or occupation, or incomes from salaries, wages, gratuities, bonuses, commissions, or professional services compensation is eligible. Moreover, a spouse may establish an individual retirement account in the other spouse’s name, even if they do not earn income.
Will I be able to afford it?
With a flexible premium deferred annuity account or individual retirement account, you may achieve a financially secure future. The current interest of an annuity and an IRA is of 1%. In the annuity, you can make a minimum deposit of $20 monthly or $240 annually. In the IRA, the maximum annual deposit allowed is $5,000, as established by law.
An individual retirement account or annuity is a savings program created under the Income Tax Act and Internal Revenue Code of Puerto Rico of 1994, as amended. It may be established through a savings account with a financial institution or through an annuity contract with a life insurance company.
The individual retirement account or annuity may be established directly by the eligible individual, by an employer for the benefit of their employees or beneficiaries, or by an employee association for the benefit of its employees, members, or beneficiaries.
Who is eligible to open an Individual Retirement Account or Annuity? Any person under 75 years of age at the close of the tax year, who receives earnings attributable to a profession or occupation, or incomes from salaries, wages, gratuities, bonuses, commissions, or professional services compensation is eligible. Moreover, a spouse may establish an individual retirement account in the other spouse’s name, even if they do not earn income.
The Triple-S Vida individual retirement account offers you a triple guarantee:
- Without risk to the principal, as your account’s growth is guaranteed
- Competitive current interest
- Guaranteed minimum annual interest rate of 1%
Flexible Premium Deferred Annuity
The flexible premium annuity allows you to accumulate additional money for your retirement, your children’s college tuition, or any future event for which you need to supplement your monthly income. We offer you a guaranteed minimum annual interest of 1% credited to your account and with the advantage of deferring tax payments for the accumulated interest. With a flexible premium deferred annuity you may achieve a financially secure future.
When you need the funds, we offer you several options: a lump sum, monthly disbursements of accumulated interests , a specific sum for a specific period of time, or lifetime payments that depend on the balance accumulated in your account with the contributions you have made. The interests accumulated with this product are deferred, which means that you will not pay taxes until the money is withdrawn and the death benefit is not subject to taxes under Inheritance Law.
The information described here is a brief summary of the policy. The specific details including conditions, limitations and exclusions that apply to this insurance are set out in the policy.