Refinancing Annuities

Reviewing Existing Contracts to Ensure They Still Fit Your Plan

Financial strategies should evolve as markets change and your goals develop over time.

If you purchased an annuity years ago, there may be newer options available with different features, updated interest rates, or improved income potential. Refinancing an annuity is the process of reviewing an existing contract and determining whether repositioning those funds into a new annuity may better support your long-term retirement strategy.

At Ward Financial, we help clients carefully evaluate their current annuity contracts and determine whether keeping, adjusting, or replacing them makes the most sense.

What Does It Mean to Refinance an Annuity?

Refinancing an annuity generally involves transferring funds from an existing annuity contract into a new annuity that may offer improved benefits or better align with your current financial goals.

This is typically accomplished through a 1035 exchange, a provision in the tax code that allows you to transfer funds between annuity contracts without triggering immediate taxation on the gains.

However, every situation is unique, and a thorough review is important before making any changes.

Why People Consider Refinancing Annuities

Over time, financial products evolve. Some individuals explore refinancing their annuities when:

  • Interest rates have increased

  • Their income needs have changed

  • New annuity products offer updated features

  • Their current contract has limited flexibility

  • They want to reposition assets within their retirement plan

In some cases, keeping the existing annuity may still be the best decision. That’s why a full evaluation is important.

What We Review

When evaluating an existing annuity, we look at several key factors, including:

  • Current contract value and performance

  • Surrender charges or contract restrictions

  • Interest rate guarantees

  • Income rider features

  • Fees or expenses

  • How the annuity fits within your overall retirement strategy

This helps ensure any recommendation is based on your broader financial structure — not just the product itself.

Review your existing annuity

Is Your Current Annuity Still Working for You?

If you own an annuity and haven’t reviewed it in several years, it may be worth taking a closer look. A simple review can help determine whether your current contract still aligns with your retirement income goals.

Schedule a consultation with Ward Financial to review your existing annuity and explore whether repositioning strategies could strengthen your financial plan.

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