ANNUITIES Annuities for the LGBT Community

Transcription

1 ANNUITIES Annuities for the LGBT Community with

2 Preparing for the IFs in life. As you look ahead to your retirement years, you may have some concerns about what your life will be like as you get older. You will inevitably face some of the ifs in life uncertainties that can derail your plans. As a member of the Lesbian, Gay, Bisexual and Transgender (LGBT) community, you may face additional challenges. Regardless of whether you are single, in a relationship or are a parent, MetLife s goal is to help you plan with confidence and pride, and to prepare for the ifs in life so that you can enjoy the retirement you envision. what would happen The stock market declines at an inopportune time...2 You live longer than expected...3 You die unexpectedly...4 Your financial needs change...5 You could find a company to depend on...5 Not A Deposit Not FDIC-Insured Not Insured By Any Federal Government Agency Not Guaranteed By Any Bank Or Credit Union May Go Down In Value

3 why consider an annuity? Preparing for the future. For most Americans, retirement income Balloon.ai comes from three main sources Social Security benefits, an employer-sponsored retirement plan and personal savings. But, since federal law does not recognize samesex marriage or domestic partnerships, gay and lesbian couples cannot take advantage of Social Security s spousal or survivor benefit programs. They may also miss out on tax advantages and other benefits afforded to heterosexual married couples. While retirement planning is critical for everyone, same-sex couples may benefit from more immediate and detailed planning since their cost of living is often higher. According to The New York Times article titled, The Cost of Being a Gay Couple Runs Higher (October 3, 2009), a hypothetical same-sex couple earning $140,000 a year would pay between $41,196 and $467,562 more over their lifetime than a comparable married heterosexual couple. Their analysis took into account the difference in the costs of health insurance, Social Security benefits, estate taxes, having a child, pension income and tax preparation. You may want to consider designing a strategy using your personal savings to ensure that you and your loved ones have the financial resources needed now and in the future. An annuity as part of a retirement strategy. An annuity can be structured to provide a stream of guaranteed income payments that can last as long as you live or for as long as both you and another person live. Guarantees apply to certain insurance and annuity products, including optional benefits, (not securities, variable or investment advisory products) and are subject to product terms, exclusions and limitations and the insurer s claims-paying ability and financial strength. 1

4 Stock markets stumble Over the long-term, history has shown that investing in stocks may be a good way to help grow your assets and outpace inflation. However, their performance is unpredictable and if you decide to take income when stock prices are down, you may receive less than you expected or you could run out of money sooner than you planned. Annuities can provide a stream of fixed income payments that will not go down, even if the market does, and can last as long as you live. Did you know? While stocks may be a good long-term investment, 12 of the past 50 years have ended in negative stock returns. 1 How an annuity can help. MetLife annuities can provide predictable income that you cannot outlive. what the market goes down at just the wrong time? You and your partner can own an annuity as joint owners, so you make decisions together about who Drawn by LoBianco Studios for Life Advice "Directory" Brochure 12/95 to name as beneficiaries and when to begin taking income.* With an annuity you can receive lifetime income for both partners. Joint lifetime income payments can continue for as long as you and/or your partner live. 1 Zephyr StyleAdvisor, 1/10. Past performance does not guarantee future results. * Under Federal law, the death of the first joint owner will trigger the death benefit. This means the death benefit will be paid to the second joint owner, not the designated beneficiary(ies). 2

5 life lasts There is no way of knowing how long you ll live. But it could be longer than you think. That s because, on average, people are living longer than ever before. American life expectancy at birth for the total population has reached a record high of years, an increase of nearly 10 years in the last 50 years alone. 2 This means your retirement could last 20 to 30 years, or longer. What strategies are available that will help your money last as long as you need it to? An annuity is one of the only products individuals can buy that offers the option to turn your assets into a stream of income payments that you cannot outlive no matter how long that is. what you live longer than expected? Did you know? If you are afraid of running out of money in retirement, you re not alone. In MetLife s Still Out, Still Aging study 3, nearly 30% of the LGBT community said outliving their income was one of their top concerns. How an annuity can help. With an annuity, you can elect lifetime payments for two people so both you and your partner can receive income for as long as both of you live. 2 Source: 3 Still Out, Still Aging: The MetLife Study of Lesbian, Gay, Bisexual, and Transgender Baby Boomers, MetLife Mature Market Institute and the American Society on Aging, March

6 Family matters Retirement planning isn t just about you. It s also about the other people in your life that matter - your partner, your family and/or children anyone whose life can be critically affected by how you plan your future. Same-sex couples are not afforded some of the benefits that heterosexual married couples take for granted. For example, the ability to pass Social Security or some pension benefits on to a surviving spouse. As a member of the LGBT community, you have other options to help protect and take care of your loved ones. Did you know? Heterosexual married couples can make additional contributions up to $5,000 annually to a spousal IRA for a non-working spouse. Stay-at-home gay or lesbian partners cannot make those contributions. How an annuity can help. what you aren t around to take care of the ones you love? Annuities may be a good way to save for retirement, regardless of whether you are single, in a relationship or have a family. Protecting the people we care about is a great feeling which is why some MetLife annuities offer standard and optional death benefits 4 and other optional features to help you take care of your loved ones if you should die prematurely. A variety of death benefits are available (some for an additional cost), payable if you should die before beginning the lifetime income phase of your annuity. Although they should not be purchased solely to avoid probate, annuities offer a benefit not found in many other investments. The death benefit will not be subject to probate, provided it is transferred to a properly named beneficiary, which can help make a difficult time a little bit easier on your loved ones.* Other optional features are also available that can help you schedule how and when your beneficiaries receive the death benefit in case you are concerned about their ability to properly manage the money they receive. Lift art from Peanuts Char. Portfolio 2002 MI_1B * In general, the annuity benefit passing to your designated beneficiary will still be included in your taxable estate for estate tax purposes. Probate rules may differ in each state. Be sure to speak with your attorney to coordinate the beneficiary designation with the remainder of your estate plan. Beneficiary must be living when the owner dies. 4 Optional benefit riders are available for an additional annual charge. May not be available in all states, with all products, or through all firms. Please refer to the product prospectus for details on the terms of the riders. 4

7 Financial needs change It s nice to know that, with a MetLife annuity, you have the flexibility to withdraw portions of your account value, periodically or as a series of withdrawals, if you need the income. Withdrawals should be taken judiciously, as taxable amounts are subject to ordinary income taxes, potential withdrawal charges and, if made before age 59½, a 10% Federal income tax penalty may apply. Withdrawals also reduce your account value, death benefit and any optional benefit riders 4 you elected. what I need the income now instead of later? Leadership counts MetLife* is committed to the LGBT community and dedicated to helping build financial freedom for everyone. Within MetLife MetLife is committed to recruiting, developing and deploying a diverse workforce and maintaining a workplace free of discrimination or harassment. We offer many benefits to our employees and their domestic same-sex or opposite-sex partners, including adoption assistance and supplemental life insurance. In addition, to better serve the needs of the LGBT community, we have a LGBT Advisory Council to provide guidance for our marketing efforts and a LGBT Resource Committee to recommend best practices and strategies for increasing recruitment in the LGBT market. Human Rights Campaign (HRC) MetLife has consistently earned a perfect score of 100% on the HRC s Corporate Equality Index. This rates companies on a scale of 0 to 100 on their policies, benefits, training programs, support networks, marketing and contributions to the LGBT community. Services and Advocacy for Gay, Lesbian, Bisexual and Transgender Elders (SAGE) SAGE honored MetLife with its first Corporate Leadership Award and recognized MetLife s Mature Market Institute (MMI) with a Certificate of Excellence for MMI s groundbreaking 2006 study, Out and Aging: The MetLife Study of Lesbian and Gay Baby Boomers. Gay, Lesbians and Allies at MetLife (GLAM) MetLife sponsors this employee affinity group to raise awareness of LGBT issues at MetLife, provide a forum for discussing issues and to organize and attend events that help advance LGBT causes. National Gay & Lesbian Chamber of Commerce (NGLCC) MetLife is a corporate sponsor of the NGLCC, and encourages employees and affiliates to take advantage of the benefits and opportunities available through local LGBT companies. * Metropolitan Life Insurance Company and its affiliates 5

8 For more information on how annuities can help you prepare for your retirement Contact your financial professional or go to Prospectuses for variable annuities issued by a MetLife insurance company, and for the investment portfolios thereunder, are available from the respective MetLife insurance company. The contract prospectus contains information about the contract s features, risks, charges and expenses. Investors should consider the investment objectives, risks, charges and expenses of the investment company carefully before investing. The investment objectives, risks and policies of the investment options, as well as other information about the investment options, are described in their respective prospectuses. Clients should read the prospectuses and consider this information carefully before investing. Product availability and features may vary by state. Please refer to the contract prospectus for more complete details regarding the living and death benefits. Variable annuities are long-term investments designed for retirement purposes. MetLife variable annuities have limitations, exclusions, charges, termination provisions and terms for keeping them in force. There is no guarantee that any of the variable investment options in this product will meet their stated goals or objectives. The account value is subject to market fluctuations and investment risk so that, when withdrawn, it may be worth more or less than its original value. All contract and rider guarantees, including optional benefits and any fixed account crediting rates or annuity payout rates, are backed by the claimspaying ability and financial strength of a MetLife 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 a MetLife Investors insurance company. Similarly, MetLife insurance companies and the underwriter do not back the claims paying ability and financial strength of the broker/dealer or its affiliates. Please contact your financial professional for complete details. MetLife Fixed Annuities, like all annuities, are insurance products and are 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 MetLife Fixed Annuity product guarantees are made solely by the issuing insurance company. The payment of principal and interest, therefore, depends solely on the issuing insurance company s claims-paying ability and financial strength. Withdrawals of taxable amounts are subject to ordinary income tax and if made before age 59½, may be subject to a 10% Federal income tax penalty. Withdrawals will reduce the living and death benefits and account value. Withdrawals may be subject to withdrawal charges. Pursuant to IRS Circular 230, MetLife is providing you with the following notification: The information contained in this document is not intended to (and cannot) be used by anyone to avoid IRS penalties. This document supports the promotion and marketing of insurance products. You should seek advice based on your particular circumstances from an independent tax advisor. MetLife, its agents, and representatives may not give legal or tax advice. Any discussion of taxes herein or related to this document is for general information purposes only and does not purport to be complete or cover every situation. Tax law is subject to interpretation and legislative change. Tax results and the appropriateness of any product for any specific taxpayer may vary depending on the facts and circumstances. You should consult with and rely on your own independent legal and tax advisors regarding your particular set of facts and circumstances. Fixed annuities are issued by MetLife Investors USA Insurance Company on Policy Form Series 8210 (01/02), and in New York, only by First MetLife Investors Insurance Company on Policy Form Series 6210 (01/02). Variable annuities, other than Preference Premier, are issued by MetLife Investors Insurance Company on Policy Form Series 7010 (11/00) and 7150 (12/00); MetLife Investors USA Insurance Company on Policy Form Series 8010 (11/00); and in New York, only by First MetLife Investors Insurance Company on Policy Form Series 6010 (02/02) and 4506 (06/02). The Preference Premier variable annuity is issued by Metropolitan Life Insurance Company on Policy Form Series PPS (07/01) and is offered through MetLife Securities, Inc. and New England Securities Corporation. All variable products are distributed by MetLife Investors Distribution Company. All are MetLife companies. November 2010 Not A Deposit Not FDIC-Insured Not Insured By Any Federal Government Agency Not Guaranteed By Any Bank Or Credit Union May Go Down In Value FSC_Labels_LNC andscape / Negative / Colour (LNC) Metropolitan Life Insurance Company First MetLife Investors Insurance Company 200 Park Avenue FSC_100_LNC.EPS New York, NY 10166FSC_100_LNC.TIFF FSC_100_LNC.JPG METLIFE, INC. FSC_MS_1_LNC.EPS PEANUTS 2010 Peanuts Worldwide FSC_MS_1_LNC.TIFF CLVA6891 FSC_MS_1_LNC.JPG L [1012] FSC_Labels_LNBW Landscape / Negative / Black & White (LNBW) Cert no. XXX-XXX-000 FPO Cert no. XXX-XXX-XXXX FSC_100_LNBW.EPS FSC_100_LNBW.TIFF FSC_100_LNBW.JPG FSC_MS_1_LNBW.EPS FSC_MS_1_LNBW.TIFF FSC_MS_1_LNBW.JPG MetLife Securities, Inc. New England Securities Corporation 1095 Avenue of the Americas New York, NY MetLife Investors Insurance Company MetLife Investors USA Insurance Company MetLife Investors Distribution Company 5 Park Plaza, Suite 1900, Irvine, CA 92614