Changing Annuities: What to Consider

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If I want an annuity that works better for me

Karen

Meet Karen. Karen is 52 and doing well financially. She started saving for retirement years ago, which included buying an annuity. But her investment goals have changed since then.


Karen now contributes the maximum to her 401(k). Some time ago, she supplemented this with a deferred annuity. Her retirement savings include:
		$350K in a 401(k) plan
		a $50k single-premium fixed deferred annuity purchased 12 years ago that no longer has withdrawal charges. She plans to take no withdrawals until she retires in about another 12 years

Over time, Karen has become more comfortable investing in stock and bonds (through her 401k), and sees them as an opportunity for growth – but her current annuity doesn't offer this option.


Karen exchanged her current annuity for a Preference Plus Select® Deferred Variable Annuity, which gave her:
		the flexibility to invest in stock and bond-based funding options
		continued tax-deferred savings*
		access to optional features which, for an additional fee, can help protect her account balance, future income and death benefits from market fluctuations
		the continued option to convert her earnings into guaranteed lifetime income

But learn why keeping your current annuity is often best.

Learn more about Preference Plus Select® Deferred Variable Annuity


	If you have more questions, or if you're ready to make an annuity part of your personal retirement plan, have a MetLife Representative contact you.

Exchanging Annuities: What to Consider

Sometimes a new annuity can offer valuable features that your current annuity doesn't offer. But exchanging your current annuity can have disadvantages. Here are some points to consider if you want to exchange your current deferred annuity for another:

Early withdrawal charges

You may have to pay significant early withdrawal or other charges on the annuity you are exchanging.
Your new annuity may have a new set of restrictions, such as early withdrawal charges that make your new annuity less liquid than your current one.

Taxes

Any amount withdrawn but not exchanged (i.e., that you receive as cash) will generally be subject to ordinary income tax. And, if you're not yet age 59½, an additional 10% tax penalty generally applies
To preserve tax deferral, you must observe IRS rules governing the transaction. For example, a non-qualified annuity can only be exchanged for another annuity that has the same owner(s) and annuitant(s). Ask your tax advisor for details.

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* Applies to non-qualified annuities. All IRAs receive tax deferral, so there should be reasons other than tax deferral for purchasing a variable annuity as an IRA.

Variable annuity and variable life products are offered by prospectus only, which is available from your registered representative. You should carefully consider the product’s features, risks, charges and expenses, and the investment objectives, risks and policies of the underlying portfolios, as well as other information about the underlying funding options. This and other information is available in the prospectus, which you should read carefully before investing. Product availability and features may vary by state. All product guarantees are based on the financial strength and claims-paying ability of Metropolitan Life Insurance Company, New York, NY 10166.

Preference Plus Select deferred variable annuity is issued by Metropolitan Life Insurance Company, 200 Park Avenue, New York, NY 10166. Product availability and features may vary by state.

Securities, including variable products, are offered through MetLife Securities, (FINRA/SIPC). 200 Park avenue, New York, NY 10166. A MetLife affiliate.

Like most annuity contracts, MetLife’s contracts contain surrender charges, exclusions, limitations and terms for keeping them in force. See your MetLife Representative for complete details.

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 advisers regarding your particular set of facts and circumstances.


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