Invest & retire Insure Build your knowledge For Businesses Log in Individuals Invest & Retire Annuities Annuities Grow your money now. Guarantee income for your future. Retirement is one of life’s biggest and most exciting changes. But when you stop depending on an employer paycheck and start creating your own, it’s important to make sure your money will last. By planning ahead, you’ll likely have a better chance of living the type of retirement you want—without worrying about where your money is coming from. A variable annuity can help you prepare for the life you want in retirement. What are variable annuities? There are two main types of variable annuities—those used for asset accumulation and those focused on providing a source of guaranteed income in retirement. And depending on your personal financial goals it’s possible to structure an annuity that can do both. Both types can provide tax-deferred growth on your premiums and earnings. Gains made within the account are reinvested and also tax-deferred, which compounds your growth. With no IRS contribution limits, variable annuities provide another way to save for the 30 years or more you may spend in retirement. When you need to create income from that savings, your variable annuity can help create guaranteed income that you can depend on for life. Variable annuities also come with insurance death benefits that don’t require underwriting and can be used to create a financial legacy for your loved ones. What makes an annuity different? Variable annuities can provide: Another way to save for retirement with no IRS contribution limits Tax-deferred growth and compounding interest on all earnings until a withdrawal is made Death benefit, with no underwriting, that passes outside of probate Control over investment choices Flexibility to move funds between subaccounts at no charge A source of guaranteed retirement income Consider a variable annuity from Principal®. They can be a smart addition to your retirement income plan to help ensure you don’t outlive your nest egg. Already have an annuity with Principal®? Access your account information online. Log in now Looking for performance information? We've got you covered. Check out performance of our variable annuities. Get started This article is intended to be educational in nature and is not intended to be taken as a recommendation. Consult with your financial professional to discuss retirement planning. Guarantees are based on the claims-paying ability of Principal Life Insurance Company. Withdrawals prior to age 59½ may be subject to a 10% IRS penalty tax. Tax-qualified retirement arrangements, such as IRAs, SEPs, and SIMPLE-IRAs are tax-deferred. You derive no additional benefit from the tax deferral feature of the annuity. Consequently, an annuity should be used to fund an IRA, or other tax qualified retirement arrangement, to benefit from the annuity’s features other than tax deferral. These features may include guaranteed lifetime income, guaranteed minimum interest rates, and death benefits without surrender charges. Annuity products and services are offered through Principal Life Insurance Company. Securities offered through Principal Securities, Inc., member SIPC, and/or independent broker/dealers. Principal Life and Principal Securities are members of Principal Financial Group®, Des Moines, Iowa 50392. Principal and symbol design and Principal Financial Group are trademarks and service marks of Principal Financial Services, Inc., a member of the Principal Financial Group. Our Company About Us Investor Relations News Room Sustainability We're Hiring Careers Global Jobs Financial Professional Opportunities Internships Recent Graduates Other Sites For Dental Providers For Financial Professionals For Institutional Investors Principal Funds Get Help 800-986-3343 Help Topics Contact Us Terms of Use Disclosures Privacy Security Report Fraud Site Map Español © 2021, Principal Financial Services, Inc. Securities offered through Principal Securities, Inc., member SIPC Cookies acceptance By clicking “Accept all”, you agree to storing cookies on your device to enhance site navigation, analyze site usage, and assist in our marketing efforts. More information can be found by clicking "Manage cookies". View our Digital Privacy and Cookie Policy Manage cookies Accept all