topic Receive interest only payments on a monthly basis from my annuity.Is this considered regular payments from my annuity since I am not taking a payment from the principle? in Retirement tax questions

Receive interest only payments on a monthly basis from my annuity.Is this considered regular payments from my annuity since I am not taking a payment from the principle?

12garner — Sat, 01 Jun 2019 14:41:11 GMT

I am newly retired and my financial planner arranged for my monthly interest on my fixed annuities ( two of them through Pac.Life) to come to me toward my retirement money. Is this considered a regular payment since it is interest only? I received a 1099-R for it.

The interest only payments would not be considered part o...

CynthiaR — Sat, 01 Jun 2019 14:41:13 GMT

The interest only payments would not be considered part of your contribution to the annuity but would be considered taxable income from the annuity.

You will get a 1099R on the interest payments from the company who holds your annuity because it is coming from your retirement account.

[Edited 2/23/19 | 9:18 pm]

See edited answer above.

CynthiaR — Sat, 01 Jun 2019 14:41:14 GMT

See edited answer above.