The New York Life Guaranteed Future Income Annuity II is a flexible-premium deferred income annuity that provides a stream of income payments guaranteed for the life or lives of the annuitant(s), beginning on a date chosen by the policy owner.
Payment Options
Life Only
- Provides income payments beginning on the income start date and guaranteed for one life (or two lives for a Joint Life Only policy).
- Generally provides maximum lifetime income per premium payment.
- Payments stop at the annuitant’s death.
- For the Joint Life Only option, income payments continue as long as one annuitant is alive and stop at the death of the last surviving annuitant.
- There is no death benefit.
- Available on non-qualified contracts only.
Life with Period Certain
- Provides income payments beginning on the income start date and guaranteed for one life (or two lives for a Joint Life policy), or for a guaranteed period (10 to 30 years, chosen at the time of purchase), whichever is longer.
- If the annuitant (or annuitant in a Joint Life policy) lives beyond the guaranteed period, payments will continue as long as the annuitant is living.
- If the annuitant (or both annuitants in a Joint Life policy) were to die before the end of the guarantee period, income payments would continue to the beneficiary(ies) for the remainder of the guarantee period.
Life with Cash Refund
- Provides income payments beginning on the income start date and guaranteed for one life (or two lives if a Joint Life policy).
- This option guarantees that if the annuitant (or both annuitants for a Joint Life policy) dies before the income payments received equal the premium paid, the beneficiary(ies) will receive a lump sum equaling the premium, less all income payments received.
- New York Life Insurance is also an inexpensive way to leave a death benefit to beneficiaries.
Death Benefits Before Income Start Date
- Life Only: None
- All Other Payment Options: Return of Premium
Flexible-Premium
- Additional premium payments may be made any time up to two years before the income start date
- Future income payments are based on rates at the time each premium payment is made
Minimum Initial Premium
- $10,000
Minimum Subsequent Premiums
- $100
Deferral Periods
- Minimum of two years
- Maximum of 40 years. However, income payments must begin by age 85; 72 for qualified policies.
Income Start Date
- Selected at the time of purchase
- New York Life’s flexible income start date feature allows the policy owner to accelerate the start of income payments to any date 13 months after the latest premium payment or defer income payments up to five additional years from the original income start date selected.
- This option may be exercised once.
Income Payment Periods
- Monthly, quarterly, semi-annually, or annually
- The payment period is selected at the time of purchase and applies to the total income stream.
Withdrawal Feature
Payment Acceleration (For Non-Qualified Policies with Monthly Payments)
New York Life annuities enable policy owners, after the income period has begun, to receive the next scheduled monthly payment, along with five subsequent payments for a total of six months of income payments, paid in one sum.
When this option is exercised, income payments will not be paid for the next five months.
- Policyowner must be at least age 59½ to exercise the Payment Acceleration option.
- It may be exercised two times during the life of the policy.
Optional Features
Annual Increase Option
With this annuity, New York Life allows most policy owners to increase income payments each year by 1%–3%, depending on the percentage chosen. Structuring payments this way may help neutralize the impact of inflation as living expenses increase over time.
- Must be elected at the time of purchase
- Policyowner must be at least age 59½ at the time of the first income payment.
- Income payments for the same premium amount will initially be smaller than policies without this feature and will increase each year at the percentage chosen.
Reduction of Income Option
For Joint Life and Joint Life with Period Certain policies, we allow the surviving annuitant to reduce their income by 50% and by 67% of the original income amount after one of the annuitants dies. By reducing survivor income payments, the annuitants can enjoy a higher income while both are still alive.
- The income reduction percentage must be chosen at the time of purchase.
- For Life with Period Certain policies, if the first annuitant dies during the guaranteed payment period, the payments to the second annuitant will not be reduced until the end of that period.
Pension-Alternative
If you’re seeking a pension-like income in the future, but want more flexibility, check out an income rider. The income rider provides similar results with much more flexibility, access, growth potential, and control.
