UnThreaded | Threaded | Whole Thread (9) | Ignore Thread Prev | Next
Author: methree One star, 50 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 734711  
Subject: Re: Why Not Annuities ?? Date: 12/19/1999 7:11 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 0
I'd rather buy stocks that I intend to hold longer than a year in a taxable account and pay 20% tax rate on the stocks I sell than to have to pay 20-30% when I take the money out of variable annunity (depending on your tax rate for earned income).

Also you cannot invest in individully managed stocks through the variable annunity products (let me know if you find one) so eventually you may wish to have your assets in a group of stocks you have selected. You cannot do this with a VA.

I bought my VA's when the long-term tax rate was 28% and not the 20% it is now so it made more sense then to get into them. I also invested more then in mutual funds and now I don't do any mutual funds. Mutual funds tend to create more tax events since they tend to churn the portofolio.

Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (9) | Ignore Thread Prev | Next

Announcements

Post of the Day:
Value Hounds

Medallion Financial: TAXI!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement