Tax Deferred Variable Annuity: Schwab Annuity: Charles Schwab

Find out how much you might save

Substantial savings—35-50% lower annuity fees than the variable annuity average—and no annual contract fees, or surrender charges.²Clients who have transferred their variable annuity assets to Schwab have saved an average of $527 per year.³ Year after year, savings like these could make a significant difference to you.

Choice—Take advantage of a broad mix of investment choices featuring approximately 60 professionally managed stock, bond and money market portfolios, representing 20 fund families. Each fund family also participates in Schwab’s OneSource mutual fund service, recognized by investors for no-load, no transaction fees and good value. View fund performance and fact sheets for the available investment choices.⁴

Professional guidance—Our experienced, Annuity Specialists can help explain and demystify annuities. If you already own a variable annuity, our specialists can perform a comprehensive analysis, including a cost comparison, to determine whether it makes sense for you to exchange it for the Schwab OneSource Annuity.¹

Flexible income choices—When it’s time to take your money choose a lump-sum payment, or a payment stream for life or over a specific period of time. And you can elect to begin making withdrawals later than age 70½, as required with IRAs and
401(k)s.⁵

Other advantages—Your contributions and any earnings won't be eroded by taxes while your assets are invested. Plus, unlike 401(k) plans and IRAs, annuities have no IRS contribution limits, allowing you to put more of your money toward your retirement goals.

888-311-4889

The Schwab OneSource Variable Annuity is sold by prospectus only. The investment return and principal value of a variable annuity will fluctuate so that an investor's units, when redeemed, may be more or less than their original cost. Before purchasing an annuity, you should carefully consider its investment options' objectives, and all the risks, charges and expenses associated with the annuity and its investment options. For this and other important information please call 888-311-4889 for an annuity prospectus, or you can view the annuity prospectus and underlying fund prospectuses online. Please read them carefully before investing or sending money.

GWFS Equities, Inc. is the principal underwriter for the Schwab OneSource Annuity (Form J444), a flexible premium variable annuity issued by Great-West Life & Annuity Insurance Company. This variable annuity is not available in all states. GWFS Equities, Inc. is a wholly-owned subsidiary of Great-West Life & Annuity Insurance Company. In the state of New York, the Schwab OneSource Annuity (Form J444-NY) is issued by First Great-West Life & Annuity Insurance Company, White Plains, NY. GWFS Equities, Inc. is an affiliate of the First Great-West Life & Annuity Insurance Company. This contract (Form J444-NY) is only available in New York. Charles Schwab & Co., Inc. is the selling broker/dealer and insurance agency.

1. Section 1035 of the Internal Revenue Service code allows the tax-free exchange of one annuity contract for another. Please consider surrender charges that may apply upon terminating an annuity contract. These charges may reduce or eliminate the benefits of a transfer. Expenses are just one factor to consider. Please also consider available investment choices, income payment options and guaranteed benefits.
2. Source: 1.33% industry average per March 31, 2009 Morningstar/VARDS® survey of 1,407 variable annuities. Maximum fee on Schwab OneSource Annuity is 0.85%.
3. Source: July 2006 to March 2009 Schwab Survey of variable annuity exchanges from a non-Schwab variable annuity to a Schwab variable annuity. The annual savings amount of $527 reflects the average differential in asset-based annuity fees (typically the mortality & expense risk and administrative charges) between the clients’ existing variable annuities and any of Schwab’s variable annuities for an assumed $100,000 purchase amount and assuming no subsequent additions or withdrawals. The savings figure does not reflect any other charges imposed by the existing annuity carrier, including surrender charges which, if included, would reduce or eliminate any potential savings. The actual amount you may save annually will vary based upon the difference in annuity fees, underlying portfolio fees, sub-account performance, amount transferred and any subsequent additions or withdrawals.
4. Like all annuities, when you invest in the Schwab OneSource Annuity, you do not invest directly in the portfolios. You invest in the Sub-Accounts of a separate account of Great-West Life & Annuity Insurance Company that, in turn, invest in the portfolios you've selected. Your account is then credited with variable accumulation units in that Sub-Account.
5. All withdrawals of any tax-deferred earnings are subject to current ordinary income tax rates and, if made prior to age 59½, may also be subject to a 10% tax penalty.

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