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Vanguard - annuities through Vanguard - deferred variable annuity cost calculator

Deferred variable annuity cost calculator

 
 
  
 
 
Are you paying too much for your variable annuity?

Issued by Monumental Life Insurance Company, and in New York State only, by Transamerica Financial Life Insurance Company, the Vanguard Variable Annuity's average annual costs are more than 70% below the industry average.*

Answer three simple questions, and we'll show you how your current annuity's annual costs compare with those of the Vanguard Variable Annuity. (You may need your contract and your most recent statement for your current annuity.)


1. What variable annuity do you currently own?


2. When did you originally purchase your annuity?

We'll use this information to estimate what, if any, surrender charges may be associated with your current annuity.


3. What's the approximate value of your annuity?

$
A guaranteed income option
The Vanguard Variable Annuity offers a Guaranteed Lifetime Withdrawal Benefits (GLWB), an optional rider designed to provide guaranteed income retirement. ** Many other companies offer this type of rider as well. Fees for these riders are not included in this cost comparison calculator.

Please call us at 800-357-4720 for assistance in comparing fees for optional riders on your existing contract.
* Source: Morningstar, Inc., as of December 2012. The Vanguard Variable Annuity has an average expense ratio of 0.58%, versus the annuity industry average of 2.28%; excludes fees for optional riders. Actual expense ratios for the Vanguard Variable Annuity range from 0.46% to 0.79%, depending on the investment allocation. The expense ratio includes an administration fee of 0.10% and a mortality and expense risk fee of 0.195%. The expense ratio excludes additonal fees that would apply if the Return of Premium Death Benefit rider or Guaranteed Lifetime Withdrawal Benefit rider is elected. In addition, contracts with balances under $25,000 are subject to a $25 annual maintenance fee.

If you own a deferred variable annuity that isn't shown in this list, call us at 800-357-4720 and we'll help you compare the cost of your annuity with that of the Vanguard Variable Annuity.

** Product guarantees are subject to the claims-paying ability of the issuing insurance company.


 
 
 
 

Variable annuities are long-term investment vehicles designed for retirement purposes and contain underlying investment portfolios that are subject to investment risk, including possible loss of principal. Before making any decision to switch to another annuity—including the Vanguard Variable Annuity—you should consider annual maintenance fees, surrender charges, death benefits, and the financial strength of the insurance carriers.

The Vanguard Variable Annuity doesn't have surrender charges. For non-Vanguard annuities, surrender charges shown in this calculator are based on Morningstar data as of May 2013. The surrender charge estimate assumes a single purchase of your current annuity. When a multishare schedule is provided for an annuity, we use a B-share schedule for our calculations. B-share annuities can impose surrender charges when you withdraw your money. Check with your current annuity provider to confirm the appropriate share class for your annuity.

The comparisons produced by this calculator are educational only; they aren't recommendations to buy or sell a particular annuity. They don't take into account your personal circumstances or other factors that may be important in making an investment decision. Consider your personal situation to determine which variable annuity is most appropriate for your needs.

This hypothetical example doesn't represent the return on any particular investment. It hasn't been independently verified by Vanguard. This information may not be copied or distributed.

If you take withdrawals from a variable annuity before age 59½, you may have to pay ordinary income tax plus a 10% federal penalty tax.

The Vanguard Variable Annuity is a flexible-premium variable annuity issued by Monumental Life Insurance Company, Cedar Rapids, Iowa (NAIC No. 66281), and in New York State only, by Transamerica Financial Life Insurance Company, Harrison, New York (NAIC No. 70688). Form No. VVAP U 1101 (in Florida, Form No. VVAP U 1101 (FL), and in New York, VVA NY 0208(R13)). GLWB Rider Form No. RGMB 43 0811 (in Florida, RGMB 43 0811 (SI)(FL), RGMB 43 0811 (JT)(FL), and in New York, RGMB 43 0811 (SI)(NY)(REV), RGMB 43 0811 (JT)(NY)(REV)). Return of Premium Death Benefit Rider Form No. VVA RP 0811 (in Florida, VVA RP 0811 (FL), and in New York, VVA RP 0811 (NY)(REV)) without agent representation. Policy and rider form numbers may vary by state and may not be available in all states. The Vanguard Group administers the Vanguard Variable Annuity for the issuer. Its variable annuity and investment costs rank among the lowest in the industry, according to Morningstar, Inc., December 2012. The Vanguard Group, Monumental Life Insurance Company, and Transamerica Financial Life Insurance Company do not provide tax advice. Investors are encouraged to consult a tax advisor for information on how annuity taxation applies to their individual situations.

This calculator is not approved for use in Oregon and may not be approved for advertising in Georgia, Mississippi, and Oklahoma.

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