In a nod to Americans who want a guaranteed stream of income during retirement, John Hancock Annuities has introduced an optional lifetime withdrawal benefit rider, Income Plus for Life, to its Venture Variable Annuity contracts.
Annual income is pegged at 5 percent of the initial purchase payment and can begin as early as age 591/2. Withdrawal amounts increase for contract holders willing to wait more than a year to withdraw. Clients who wait at least 10 years or until age 70, whichever is later, can see their annual income double.
Income Plus for Life credits a 6 percent bonus for each year clients don’t take a withdrawal, and if no withdrawals are taken for the first 10 years or by age 70 if that is later, the benefit base is increased to 200 percent of the initial purchase payment, at a minimum.
Additional fees apply for the rider and may increase as the benefit base increases. For additional information, visit www.jhancock.com.