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Sales Week: Offer clients easy, flexible Partial Tax Conversion — with EquiTrust

 
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SIMPLE, EASY, SYSTEMATIC PARTIAL TAX CONVERSION TO A ROTH IRA

Available on all inforce EquiTrust deferred annuity contracts
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Have you had conversations with clients about Roth IRAs, and converting money over from a traditional vehicle? 

 

Good news — we make it easy. Partial Tax Conversion (PTC) is available on any Qualified, inforce EquiTrust deferred annuity. With PTC, your clients with an EquiTrust Traditional, SEP or SIMPLE IRA can transfer money over time into a Roth IRA contract.
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What are the advantages of systematically transferring money to a Roth IRA?

  • Your client has more control over when they pay taxes — they have the option to spread taxes out over a period of time rather than having to pay them all at once.

  • Your client determines when and how much to convert (one PTC allowed per contract year).
  • Paying taxes now on partial conversion amounts while your client may be in a lower tax bracket may offer tax advantages.

Why transfer to a Roth IRA?
  • Potential for tax-free growth
  • Tax-free distributions after age 59½1
  • No Required Minimum Distributions (RMDs)
  • Nontaxable income for beneficiaries2
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Providing the 1099R

We’ll do tax withholding at the time of conversion, generating the 1099R for your client.
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How does the conversion of the original contract work?

The new contract mirrors the original contract, except for the tax qualification, with the same:

  • Effective date
  • Client roles
  • Agent
  • Account allocations
  • Credited rates
  • Riders
Partial Tax Conversion flyer
Download FAQ
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UPCOMING WEBINAR ON SUITABILITY PRACTICES

Achieving the right fit — know the suitability process and deliver for clients

Wednesday, Feb. 7 at 10:00 a.m. Central

 

Hear directly from our compliance department about the ins and outs of the suitability process. Learn your obligations as an agent selling EquiTrust products, and get best practices for submitting in-good-order business and achieving high client satisfaction.
Register now
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Alex Holloman

Assistant Vice President, Compliance
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Earn extra 1% commission on FIA sales image
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Premium bonus boost

We've increased premium bonuses by 2% 3 on select FIAs through March 31, 2024. Help clients jumpstart their retirement income strategy with a bigger bonus! 
Get the details

Earn an extra 1% commission on EquiTrust FIAs — including Bridge®

Writing agents can earn an extra 1% commission on our simple, effective fixed index annuities for applications received through Feb. 29, 2024.
Get the details
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Paradise awaits

The qualification period has begun — start working to join us in magnificent Turks & Caicos for our 2025 EquiTrust Producer Incentive Trip.
Learn more
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Want to talk about how a PTC can help your clients looking to convert to Roth? Call 866-598-3694.
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1 The Owner is required to wait five years and until age 59½ before distributions are tax-free. Distributions are reportable, but not taxable, assuming all IRS rules have been met.

2 Withdrawals of earnings may be subject to income tax if the Roth account is fewer than five years old at the time of the withdrawal.

3 Premium bonus on MarketForce Bonus Index TM increased by 3% in CA.

 

EquiTrust does not offer investment advice to any individual or agent/producer and this material should not be construed as investment advice. Products underwritten, issued and distributed by EquiTrust Life Insurance Company, West Des Moines, Iowa.

 

© EquiTrust 2024. All rights reserved.

1072-GEN-EM-SW (02-24)

FOR PRODUCER USE ONLY

EquiTrust

7100 Westown Pkwy Suite 200
West Des Moines, IA 50266

 

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