The basic formula is: Total Account Value – Cost Basis = Gain.
For example, a $25,000 investment that grows to $35,000 has a taxable gain of $10,000 upon death. If your spouse is the beneficiary, they have the option to take over the annuity rather than receive a payout. To learn more, please consult your tax advisor or contact us at Claims@NavyMutual.org or 800-628-6011.