Talk of The Villages Florida - View Single Post - Inheriting non-spousal annunity
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Old 08-20-2021, 08:57 AM
Gigi3000 Gigi3000 is offline
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Quote:
Originally Posted by retiredguy123 View Post
If you can use the 5 year rule, you could take $72K per year for 5 years, and have a taxable income of $40K each year. That may save you some taxes over the 5 years because of the standard deduction. Then, you would be done with the annuity.
I talked to the bank advisor who said I would keep the same annunity (which is.in a balanced fund 60/40) but they are checking if it has an exclusion ratio. If not, I would have to pay taxes on the whole $360,000( over 5 years)....no benefit of cost basis. How can they sell something like that?