1 Teachers Insurance and Annuity Association of America, New York, NY
2 This scenario is based on a hypothetical rate of return and is not intended to represent the performance of any specific investment product. It cannot predict or project investment returns. Charges, taxes, and expenses that would be associated with an actual investment, and which would reduce performance, are not reflected.
3 Diversification is a technique to help reduce risk. It is not guaranteed to protect against loss.
4 Any guarantees under annuities issued by Teachers Insurance and Annuity Association of America (TIAA) are subject to TIAA’s claims-paying ability.
TIAA has shared $10B in profits over the past 3 years as of 12/31/2018.
Please note average retirement account balances are not a measure of performance of TIAA retirement offerings.
Certain products and services are only available to eligible individuals.
Interest credited to TIAA Traditional Annuity accumulations includes a guaranteed rate, plus additional amounts as may be established on a year-by-year basis by the TIAA Board of Trustees. The additional amounts, if and when declared, remain in effect through the “declaration year,” which begins each March 1 for accumulating annuities, and January 1 for payout annuities. Additional amounts are not guaranteed for periods other than the period for which they are declared. All guarantees are based on TIAA’s claims-paying ability. TIAA Traditional is a guaranteed insurance contract, and not an investment for Federal Securities Law purposes.
TIAA Traditional may not be available under all employer-sponsored retirement plans recordkept by TIAA but is available to eligible individuals through a TIAA IRA. The terms of TIAA Traditional differ between contract forms. Some contracts allow for full withdrawals and transfers. Other contracts only permit withdrawals and/or transfers to be paid in multiyear installments and certain withdrawals may be subject to a surrender charge. Review your contract, certificate, or other product literature, or contact TIAA for complete details. When TIAA Traditional Annuity is made available within an employer-sponsored retirement plan, income and withdrawal options are subject to the terms of the employer plan. Withdrawals prior to age 59½ may be subject to a 10% federal tax penalty.
Earnings and pre-tax contributions in the TIAA Traditional annuity are tax-deferred until withdrawn or converted to income, at that time the amount received is taxable.
Annuities are designed for retirement and other long term goals. When you contribute to an annuity, your money must remain in it until you reach 59½. If you make a withdrawal before then, the money will be taxed as ordinary income and you may be subject to an additional 10% early withdrawal penalty. Annuities offer several payment options, including lifetime income.