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Show Thursday, February 24, 2011 The Ciunnison Valley Ciazette Page 8 Need to boost retirement income? Consider variable annuities Submitted by DARIN FRANDSEN Here's a sobering statistic: 46 percent of workers surveyed had little or no confidence that they will have enough money to live comfortably throughout their retirement years, according to the 2010 Retirement Confidence Survey, issued by the Employee Benefit Research Institute. So you may want to explore all possible retirement savings vehicles — including a variable annuity. Generally speaking, when saving for retirement, it's a good idea to contribute as much as possible to your IRA and your 401(k) or other employer-sponsored retirement plan. But if you've fully funded those plans for the year, and you still have some money left to invest, you may want to consider a variable annuity, which offers these benefits: • Tax deferred earnings— Your variable annuity's earnings have the opportunity to grow tax-deferred, which means your investment dollars can accumulate faster than if they were placed in an investment on which you paid taxes every year. When you eventually make withdrawals, your earnings will be taxed at your ordinary income tax rate. (For non-qualified annuities, you won't have to pay additional taxes on the amount you contributed.) There are no tax advantages to investing in a variable annuity with qualified money. • Variety of investment options offer diversification —Variable annuities allow individuals to invest in several different professionally managed investments, known as "subaccounts." You can choose the subaccounts that best fit your risk tolerance, time horizon and long-term objectives. Keep in mind, though, that diversification does not guarantee a profit or protect against a loss. •No contribution limits — Each year, you can contribute far more to a variable annuity than you can to your 401(k) and your IRA. In fact, you can contribute virtually unlimited amounts to your annuity. • Payout flexibility — A variable annuity provides you with flexibility in gaining access to your money. You could, for instance, collect a lump sum. But you might find it more advantageous to take your payments over a specified number of years. You could even choose to receive a lifetime income stream. • Guaranteed death benefit – If you die, your beneficiary is usually guaranteed the amount originally invested, minus previous withdrawals. Some variable annuities offer death benefit options, which may increase the death benefit over time. Guarantees are based on the claims-paying ability of the issuing insurance company. While variable annuities do offer some key advantages, there are also some considerations to discuss with your financial advisor before investing. For one thing, variable annuities are not suitable for everyone. A variable annuity is unquestionably a long-term investment. In fact, you may be assessed a surrender charge if you pull money out of the contract within the first several years after you purchase it. However, some variable annuities allow you to withdraw a portion of your investment, such as 10 percent of your purchase payments without incurring a surrender charge, while others allow full withdrawals. Another point to keep in mind is that if you tap into your annuity before you reach age 59-1/2, you may be hit with Bailey Farms Our Best to the FFA (435) 283-5776 850 N. 200 E. • Ephraim 4• ■A_ V a 10 percent early withdrawal penalty. One final note: A variable annuity is just that — variable. The value of your annuity will go up and down, based on what's happening in the financial markets, and there's no guarantee that your annuity won't lose principal. Also, variable annuities vary greatly in their terms, features and fees, so, before investing, you'd better shop around. s s TEEN SANVZ77 COUNTV Consult with your financial advisor to determine which variable annuity is most appropriate for your needs. Ultimately, though, you may well find that a variable annuity may be the final piece to your retirement income puzzle. HEY YOU! This is an OPEN PAGEANT for all girls ages 13-17. Come and learn about this exciting opportunity to reign as the first ever MISS TEEN SANPETE COUNTY. See you there!! This article was written by Edward Jones for use by your local Edward Jones Financial Advisor. The Opening Meeting will be held February 28, 2011 6:00 PM at Manti High School Get Answers RSVP by 2/25/11 to Your Financial Questions. 435.851.9168 desi ejones@hotmail.com You're Invited ... At Edward Jones, we believe financial education is an important part of achieving your goals. That's why we're excited to invite you to our upcoming program. At this unique event, you'll learn about important investment strategies. Presentation: Market Update Presenter: Matt Montague Title: Regional Marketing Director "Air ie% GUNNISON VALLEY HIGH SCHOOL Organization: Hartford When: Thursday March 3rd, 2011 Where: Gunnison City Hall 38 W Center Street Gunnison, UT 84634 Dinner will be served. Call Sheri Hamilton at 435-627-2159 by March 1st, 2011 to reserve your seat for this event. The investments in mutual funds or unit investment trusts (UITs) are offered by prospectus. You should consider the investment objective, risks, and charges and expenses carefully before investing. The prospectus contains this and other information. Your Edward Jones financial advisor can provide a prospectus, which you should read carefully before investing. Saturday, March 5, 2011 8:30 to Midnight Darin K Frandsen Financial Advisor 446 South Mall Drive B-7 St George, UT 84790 435-627-2159 www.edwardjones.com Promenade • 9 pm Seating begins at 8:30 $8 per couple • $5 for singles $3 for Promenade Pictures will be taken from 8 to Midnight Member SIPC EdwardJones MKD-2742-A-AD FEB 2011 -Formal Dress- MAKING SENSE OF INVESTING UTAH HERITAGE CREDIT UNION Honoring Our FFA Youth Offices in Moroni, Ephraim, Gunnison & Mt. Pleasant 436-8288 • 84 W. Main • Moroni GSM rs, F BUILDING SYSTEMS INC. Saluting the FFA 320 West 100 North Ephraim, UT 84627 435-283-4040 www.cobuildings.net 528-7236 29 S. Main • Gunnison Intermountain Medical Group CO GUNNISON TELEPHONE CO. Cowley Farm & Feed Lot & Venice Feed & Cattle Co. 1 Ale We do sell locker beef ere.j443 Ephraim Health Center (435) 283-4076 • 525 N. Main • Ephraim BAREX DAIRY DRINK MILK 896-5260 .. ,_‘„T.,, „..c.F'.2',N, E — ,:'s '/e4 AXS 546 N. Main St. • Venice to Z Glass r". - (( Owned by Russell Otten & Family Wishing You a Wonderful New Year ■s A 0 0 Auto & Residential Glass (435) 528-7331 528-5500 Located SW of Centerfield in Clarion, UT 370 N. Main • Centerfield (Servicing all of Sanpete & Sevier County) &atom Sno-Cap Lanes achiced Swwice Honoring the FFA (435) 340-1303 / (480) 340-1392 130 E 200 S • Ephraim DUANE'S AUTO WRECKING Offering New & Used Auto Parts at Discount Prices NATIONAL FFA EEK Our Best to the FFA Youth and Their Leaders 435-283-4522 February 19-26 r 2 011 We are proud to honor the FFA youth and their leaders. Keep up the good work! 605 S. Main • Ephraim &?° Shaheen Motel 4Tel ' im & Gift Shop Honoring the FFA! 1-800-624-7062 435-529-7455 1190 N. 1600 West • Orem 1225 S. State • Salina SATTERWHITE LOG HOMES Donaldson Insurance Agency, Inc. 528-5001 (435) 528-7253 Proud to Honor the FFA Full-Service Copies -Printing (435) 283-3500 • 35 S. Main • Ephraim 911 E. Hwy 89 North • Gunnison San Pete Valley Conoco Los Amigos Mexican Restaurant Saluting the FFA Youth & Leaders (435) 436-8631 26 N. 400 E. • Moroni Saluting the FFA Program Proud to Recognize Our FFA Youth 558 S. Main • Gunnison many INC. Our Best to the FFA Youth & Their Leaders 283-5675 435-529-7484 3 East 700 South • Ephraim 79 W. Main • Salina SNOW COLL E G E Saluting the FFA Program (435) 283-7154 150 E. College Ave. • Ephraim Frischknecht Livestock Broken Arrow Ranch Honoring the FFA (453) 528-3243 |