One of the most confusing parts of retirement planning is understanding exactly how the IRS views your income. So, how are annuities taxed? Do you pay taxes on the whole amount, or just the gains? In this video, Shawn Plummer from The Annuity Expert breaks down everything you need to know about annuity taxation in the United States.

Shawn explains the critical differences between Qualified, Non-Qualified, and Roth IRA annuities, and how each one impacts your tax bill. He also dives into the difference between Annuitization (which uses an exclusion ratio) and Lifetime Withdrawals (which use LIFO - Last In, First Out), and reveals how to avoid the 10% IRS early withdrawal penalty if you need your money before age 59 ½.

📖 Read our full, detailed guide on Annuity Taxes here: