Christian Financial Credit Union

What Tax-Advantaged Alternatives Do You Have?

There are a number of more stable financial instruments that may enable you to defer or eliminate income taxes. By shifting part of your cash reserves to some of these instruments, you can help keep more of your money working for you.

One possibility you may want to consider is a fixed-annuity contract. Fixed annuities are a unique alternative that can help you meet the challenges of tax planning, retirement planning, and investment planning. Fixed-annuity contracts accumulate interest at a competitive rate. And the interest on an annuity contract is usually not taxable until it is withdrawn. Most annuities have surrender charges. Typically, these charges are assessed in the early years of the policy if the policy owner surrenders the annuity before the insurance company has had the opportunity to recover the cost of issuing the policy. Also, withdrawals made from an annuity prior to age 59 1/2 may be subject to a 10 percent penalty. Please speak with us to determine whether this investment would be appropriate for your individual needs. And as always, please consult a qualified tax professional for specific tax advice.

Mike Awwad, Financial Advisor registered through CUSO Financial Services, L.P. (CFS)* at Christian Financial Credit Union would love the opportunity to speak with you about your financial plans and investment options. Give him a call today to set up an appointment at 586.445.3651.

For specific tax advice, please consult a qualified tax professional.

1. Annuities are insurance products and are not insured by the FDIC, NCUA/NCUSIF or any government agency. Guarantees are based on the claims-paying ability of the Life Insurance Company. IRA's and other qualified plans already provide tax deferral like that provided by an annuity. Withdrawals prior to age 59 1/2 may be subject to federal/state income tax or penalty. Surrender charges apply for withdrawals in excess of the penalty-free withdrawals per year.

2. Insurance products and services offered through CUSO Financial Services, Inc. (CFS) are not NCUA/NCUSIF Insured, not credit union guaranteed and may lose value. Christian Financial Credit Union is affiliated with CFS. Representatives are employees of Christian Financial Credit Union and licensed through CFS.

Non-deposit investment products and services are offered through CUSO Financial Services, L.P. (“CFS”), a registered broker-dealer (Member FINRA/SIPC) and SEC Registered Investment Advisor. Products offered through CFS: are not NCUA/NCUSIF or otherwise federally insured, are not guarantees or obligations of the credit union, and may involve investment risk including possible loss of principal. Investment Representatives are registered through CFS. Christian Financial Credit Union has contracted with CFS to make non-deposit investment products and services available to credit union members.