ÿþ<HTML> <HEAD> <TITLE>Variable Annuity Calculator</TITLE> <META HTTP-EQUIV="Content-Type" CONTENT="text/html; charset=iso8859-1"> <META NAME="description" CONTENT="Financial Calculators, ©1998-2010 KJE Computer Solutions, LLC. For more information please see http://www.dinkytown.net"> <STYLE> <!-- BODY, TABLE, TD, TH, UL, OL, DD, DL, P, BR { font-family: helvetica, arial, sans-serif; font-size: 10pt; } H1 { font-family: helvetica, arial, sans-serif; font-size: 13pt; font-weight: bold; } DT { font-family: helvetica, arial, sans-serif; font-size: 10pt; font-weight: bold; } P.footer { font-family: helvetica, arial, sans-serif; font-size: 9pt; } DIV.large { font-family: helvetica, arial, sans-serif; font-size: 13pt; font-weight: bold; } --> </STYLE> </HEAD> <!-- Financial Calculators, ©1998-2008 KJE Computer Solutions, LLC. 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For more information please see: <A HREF="http://www.dinkytown.net">http://www.dinkytown.net</A> --> <H1>Variable Annuity Calculator</H1><P> Contributing to a Variable Annuity creates long term tax deferred growth. Use this calculator to see how a Variable Annuity might fit into your retirement plan. <P><CENTER> <!--[if IE]><object name="calculator" classid="clsid:8AD9C840-044E-11D1-B3E9-00805F499D93" codebase="http://java.sun.com/update/1.6.0/jinstall-6-windows-i586.cab#Version=1,4,0,0" height="380" width="565"><param name="code" value="Annuity" /><param name="archive" value="dinkytown.jar" /> <P style="font-size:1px; color: #ffffff" line-height: 1px><![endif]--><![if !IE]><P style="font-size:1px; color: #ffffff" line-height: 1px><![endif]></P><![if !IE]><APPLET name="calculator" code="Annuity.class" align="baseline" WIDTH="565" HEIGHT="380" archive="dinkytown.jar"><![endif]> <PARAM name="CURRENT_AGE" value="29"> <PARAM name="ANNUAL_CONTRIBUTION" value="0"> <PARAM name="RATE_OF_RETURN" value="8"> <PARAM name="AGE_OF_RETIREMENT" value="65"> <PARAM name="CURRENT_TAX_RATE" value="25"> <PARAM name="RETIREMENT_TAX_RATE" value="15"> <PARAM name="STARTING_BALANCE" value="10000"> <!--CUSTOM PARAMETERS--> <PARAM name="TEXT_FOR_REPORT" value="<HTML> <HEAD> <TITLE>Variable Annuity Calculator</TITLE> <META HTTP-EQUIV='Content-Type' CONTENT='text/html; charset=iso8859-1'> <META NAME='description' CONTENT='Financial Calculators, &QCPQ;1998-2010 KJE Computer Solutions, LLC. For more information please see http://www.dinkytown.net'> <STYLE> <!-- BODY, TABLE, TD, TH, UL, OL, DD, DL, P, BR { font-family: helvetica, arial, sans-serif; font-size: 10pt; } H1 { font-family: helvetica, arial, sans-serif; font-size: 13pt; font-weight: bold; } DT { font-family: helvetica, arial, sans-serif; font-size: 10pt; font-weight: bold; } P.footer { font-family: helvetica, arial, sans-serif; font-size: 9pt; } DIV.large { font-family: helvetica, arial, sans-serif; font-size: 13pt; font-weight: bold; } --> </STYLE> </HEAD> <BODY bgcolor='#FFFFFF' LINK='#003399' VLINK='#666666' BGCOLOR='#FFFFFF'> <CENTER><table border=0 bgcolor='#000000' width=468 cellspacing=1 cellpadding=0><tr><td width='100%'><table bgcolor='#FFFFDD' border=0 width=468 cellspacing=1 cellpadding=5><tr><td width='100%' align=center valign=middle><DIV class=large>Variable Annuity Results</DIV></td></tr></table></TD></TR></TABLE></CENTER> <H1>Your Variable Annuity could be worth ANNUITY_TOTAL_AF_CHARGE at retirement.</H1>**GRAPH2**<P> According to your inputs, your Variable Annuity could be worth ANNUITY_TOTAL_BF_TAX at retirement. SURRENDER_INFO If, at that time, you withdrew the entire amount, the balance after taxes would be ANNUITY_TOTAL_AF_TAX. If you had put this savings into a taxable account it would be worth TOTAL_TAXABLE at retirement. <P>It is important to note that you only pay taxes on the amount you withdraw, the remaining balance will still earn interest that is tax deferred. Very few people need to withdraw the entire balance in one lump sum. By making withdrawals gradually, or by making use of certain loan provisions available to many annuities, you can further increase the value of this tax deferred investment. <P><CENTER><table border=0 bgcolor='#000000' width=95% cellspacing=1 cellpadding=0><tr><td width='100%'><table bgcolor='#FFFFFF' border=0 width=100% cellspacing=1 cellpadding=5> <TR BGCOLOR='#CCCCCC'><TD COLSPAN=2><CENTER><B>Variable Annuity Results</B></CENTER></TD></TR> <TR><TD><b>Total contributions</b></TD><TD>TOTAL_CONTRIBUTIONS</TD></TR> <TR><TD><b>Annuity total before taxes</b></TD><TD>ANNUITY_TOTAL_BF_TAX</TD></TR> <TR><TD><b>Surrender charges</b></TD><TD>ANNUITY_CHARGE ( ANNUITY_PERCENT_CHARGE )</TD></TR> <TR><TD><b>Annuity total after surrender charges</b></TD><TD>ANNUITY_TOTAL_AF_CHARGE</TD></TR> <TR><TD><b>Annuity total after taxes</b></TD><TD>ANNUITY_TOTAL_AF_TAX</TD></TR> <TR><TD><b>Total if this were a taxable account</b></TD><TD>TOTAL_TAXABLE</TD></TR> </TABLE></TD></TR></TABLE></CENTER> <P>**GRAPH**<P> <H1>How is this different than an IRA?</H1><P>A Variable Annuity is an investment product designed to provide long term, tax deferred savings. Over a period of years, a Variable Annuity can create sizable tax savings. In this respect an annuity is very similar to an IRA. <P>With a Variable Annuity you do not receive a tax deduction on the money you deposit, but you don't pay taxes on any interest earned until you begin making withdrawals. This is similar to making non-deductible contributions to a traditional IRA. This is considerably less attractive than contributing to a Roth IRA. Unlike IRAs (both Roth IRAs and traditional IRAs) there are no annual contribution limits or income limits. Generally speaking, it is usually to your advantage to maximize your IRA contributions before you contribute to a Variable Annuity. <H1>Your input values</H1><CENTER><table border=0 bgcolor='#000000' width=95% cellspacing=1 cellpadding=0><tr><td width='100%'><table bgcolor='#FFFFFF' border=0 width=100% cellspacing=1 cellpadding=5> <TR BGCOLOR='#CCCCCC'><TD COLSPAN=2><CENTER><B>Input Summary</B></CENTER></TD></TR> <TR><TD><b>Starting balance</b></TD><TD>STARTING_BALANCE</TD></TR> <TR><TD><b>Annual contribution</b></TD><TD>ANNUAL_CONTRIBUTION</TD></TR> <TR><TD><b>Current age</b></TD><TD>CURRENT_AGE</TD></TR> <TR><TD><b>Years until retirement</b></TD><TD>YEARS_UNTIL_RETIREMENT</TD></TR> <TR><TD><b>Age of retirement</b></TD><TD>AGE_OF_RETIREMENT</TD></TR> <TR><TD><b>Expected rate of return</b></TD><TD>RATE_OF_RETURN</TD></TR> <TR><TD><b>Current tax rate</b></TD><TD>CURRENT_TAX_RATE</TD></TR> <TR><TD><b>Retirement tax rate</b></TD><TD>RETIREMENT_TAX_RATE</TD></TR> </TABLE></TD></TR></TABLE> <BR> </CENTER> <DIV class=large>Variable Annuity balances by year</DIV> <HR SIZE=1> **REPEATING GROUP** <BR> <HR SIZE=1> <CENTER><P class=footer> Information and interactive calculators are made available to you as self-help tools for your independent use and are not intended to provide investment advice. We cannot and do not guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues. </P></CENTER><br><br> </BODY> </HTML> "> <H1><CENTER>This Financial Calculator requires SUN's Java"! Plug-in. If you see this message you will need to download SUN's Java"! Plug-in. This can be done automatically by clicking the yellow bar at the top of your browser and choosing  Install ActiveX Control . </CENTER></H1> <OL> You can also get SUN's Java"! Plug-in here: <A href="http://www.java.com/en/download/download_the_latest.jsp" target=_blank><b>Get the Java"! Plug-in!</b></A> <P>For more information about this Plug-in please visit: <A href="http://www.dinkytown.net/money/sunjvm.html" target=_blank><b>SUN's Java"! Plug-in</b></A> <BR>For more information these financial calculators please visit: <A href="http://www.dinkytown.net" target=_blank><b>Financial Calculators from KJE Computer Solutions, LLC</b></A> </OL><!--[if IE]></OBJECT><![endif]--><![if !IE]></APPLET><![endif]> </CENTER><CENTER><SCRIPT>document.write(showbuttons())</SCRIPT></CENTER> <H1>Definitions</H1><P><TABLE align='center' WIDTH="95%"><TR><TD><DL><!--DEFN_START--> <DT><B>Variable annuity</B><DD>A variable annuity is an insurance product designed to provide long-term, tax deferred savings. You do not receive a tax deduction on the money you deposit, however, you pay no taxes until you begin making withdrawals. There are no annual contribution limits or income limits. A Variable Annuity could be a good option if you wish to increase your tax deferred savings. This calculator assumes that you make your contribution at the beginning of each year.<P> <P>Variable annuity contracts will have different rules, restrictions and expenses that will vary by insurance company and by product within an insurance company. To fully understand a variable annuity, make sure you fully understand all options, restrictions and expenses for your specific variable annuity before you enter into such a contract. This calculator is not designed to describe a specific insurance product and should be used as a general illustration of the tax deferred feature of a variable annuity.<P> <DT><B>Surrender charges</B><DD>Press the "Enter Data" button to input surrender charges for this Variable Annuity. You are allowed to enter the year and percent of the surrender charge. Surrender charges are a percent of the annuity balance you will be charged if you withdraw your annuity balance early. The actual surrender charges vary widely from annuity to annuity. Make sure to check with your investment advisor if you are unsure of the surrender charges that may apply to your particular annuity.<P> <DT><B>Current age</B><DD>Your current age.<P> <DT><B>Withdrawal age</B><DD>Age you wish to start taking money out of the annuity. This calculator assumes that the year you begin withdrawals, you do not make any contributions to your annuity. So if you begin at age 65, your last contribution would have happened when you were actually age 64.<P> <DT><B>Annual contribution</B><DD>The amount you will contribute to your variable annuity each year.<P> <DT><B>Expected rate of return</B><DD>The annual rate of return you expect for your variable annuity. This calculator assumes that your return is compounded annually and your contributions are made at the beginning of each year. The actual rate of return is largely dependent on the type of investments you select. For example, from December 1999 to December 2009, the average annual compounded rate of return for the S&P 500 was -0.6%, including reinvestment of dividends. From January 1970 to December 2009, the average annual compounded rate of return for the S&P 500, including reinvestment of dividends, was approximately 10.1% (source: www.standardandpoors.com). Since 1970, the highest 12-month return was 61% (June 1982 through June 1983). The lowest 12-month return was -43% (March 2008 to March 2009). Savings accounts at a bank may pay as little as 1% or less but carry significantly lower risk of loss of principal balances.<P>It is important to remember that these scenarios are hypothetical and that future rates of return can't be predicted with certainty and that investments that pay higher rates of return are generally subject to higher risk and volatility. The actual rate of return on investments can vary widely over time, especially for long-term investments. This includes the potential loss of principal on your investment. It is not possible to invest directly in an index and the compounded rate of return noted above does not reflect sales charges and other fees that funds and/or investment companies may charge.<P>Insurance products may additionally include mortality, expense risk charges, cost of insurance, administrative, and surrender charges that will have a significant impact on the total rate of return for the investment. <P> <DT><B>Current tax rate</B><DD>Your current marginal tax rate you expect to pay on your taxable investments.<P> <DT><B>Retirement tax rate</B><DD>The marginal tax rate you expect to pay on your investments at retirement.<P> <DT><B>Years until retirement</B><DD>Number of years before retirement.<P> <DT><B>Annuity total before taxes</B><DD>Total value of your variable annuity at retirement before taxes.<P> <DT><B>Annuity total after taxes</B><DD>Total value of your variable annuity at retirement after taxes are paid.<P> <DT><B>Total taxable account</B><DD>Total value of your savings, at retirement, if your annual contribution is deposited into a taxable account. <!--DEFN_END--></DL></TD></TR></TABLE> <BR> <HR SIZE=1> <CENTER> <P class=footer> Information and interactive calculators are made available to you as self-help tools for your independent use and are not intended to provide investment advice. We cannot and do not guarantee their applicability or accuracy in regards to your individual circumstances. All examples are hypothetical and are for illustrative purposes. We encourage you to seek personalized advice from qualified professionals regarding all personal finance issues. </P></CENTER> <BR> </BODY> </HTML>