Monthly income payments and annual payout rates for Joint Life options assume the same issue age for male and female and that benefit reduction was not elected.

Monthly income payments and annual payout rates are based on a nonqualified Pacific Income Provider Annuity, $100,000 purchase payment, the annuitant's date of birth, and based on purchase rates in effect as of 09/01/2017. Monthly income payments and annual payout rates may differ for other purchase payment amounts or for qualified contracts. Annual payout rates include interest and return of principal. They are not interest rates, and represent the annualized payouts as a percent of total purchase payment. The amounts shown are for illustrative purposes only and are not a guarantee of the amount the contract owner will receive.

Income options are subject to suitability review and may not be available at all ages.

Monthly income payments and annual payout rates reflected are before taxes. In the state of MT, and for qualified contracts in NY, income payments do not differentiate between male and female life expectancies. Income payments do not include applicable state premium taxes, which will reduce the monthly income payment.

Qualified contracts, including traditional IRAs, SEP-IRAs, Roth IRAs, inherited IRAs, and inherited Roth IRAs, are eligible for favorable tax treatment under the Internal Revenue Code (IRC). Certain payout options and certain product features may not comply with various requirements for qualified contracts, which include required minimum distributions and substantially equal periodic payments under IRC Section 72(t). Therefore, certain product features, including the ability to exercise withdrawal features, may not be available or may have additional restrictions. The Income Payment Acceleration feature is available but will be considered a modification to the 72(t) program and may subject the series of 72(t) withdrawals to a 10% additional tax. In addition, certain payout options may not be available for qualified contracts.

For Roth IRAs, upon the Roth IRA owner's death, distributions to the designated beneficiaries may be subject to IRS required minimum distribution rules. If the designated beneficiary is not the spouse, the beneficiary may be required to take a lump-sum payment of the present value of the guaranteed payments if a death benefit becomes available. For the purpose of qualified distributions from Roth IRA, since the 5-year waiting period is tracked by the Roth IRA holder, the designated beneficiary and/or spouse who elects to treat the Roth IRA as his or her own will also need to take on this responsibility going forward when claiming qualified distributions.

Income from annuity payments received from Pacific Income Provider cannot be aggregated or combined with income from other IRA contracts/assets for purposes of satisfying IRS required minimum distributions.

Nonqualified contracts may not be subject to the various requirements for qualified contracts, but are still subject to an additional 10% federal tax for annuity payments, withdrawals, and other distributions prior to age 59½. While there are exceptions to this additional federal tax under IRC Section 72(q), certain payment options may not comply. For nonqualified contracts, an additional 3.8% federal tax may apply on net investment income.