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Payout Options

ING has developed several fixed and variable payout options available to you at retirement. With these options, the emphasis is on flexibility. When you leave the employment of your college or university, you may select one of the following options.

Life Income: Payments will be made for as long as you live. If you choose, you can specify a minimum number of months (60,120,180 or 240) and if you die before the end of that period, payments will be made to your beneficiary for the remainder of the time.

Life income for two payees: You and your co-annuitant (your spouse or other person selected) are guaranteed income for life. When one of you dies, the survivor will receive 1/3,1/2, or full payment (your choice). The Full Payment Joint and Survivor Option is available with a 10-year guaranteed period. If you and your co-annuitant do not outlive the 10-year period, the remaining payments will be made to your beneficiary. Guarantees are based on the claims-paying ability of ING Life Insurance and Annuity Company.

Joint and ½ contingent life income: You and your joint annuitant will receive full payments as long as you live. At your death, your joint annuitant will receive ½ payments for his or her lifetime.

For 403(b) TDA only Partial lump sum payment: you may elect to receive a payment of up to 36 months of your annuity in addition to a lifetime annuity. If the up-front lump sum is chosen, your lifetime annuity benefits would be reduced accordingly.

There are other systematic distribution options which allow your account to continue its tax-deferred accumulation and participate in investments as you direct. These include:

An estate conservation option that allows you to receive an annual payment of the minimum amount required by law at 70½ or retirement, whichever is later; or

A systematic withdrawal option involving either a specific percentage amount, a specific dollar amount, or a specific time period, including your life expectancy.

Death before Retirement

If you die before retirement, your named beneficiary will receive the total current cash value of your account or may select one of the settlement options (subject to plan provisions). If your beneficiary is your spouse, he or she may elect not to receive the funds in your account until the date you would have reached 70½.

Louisiana is a "community property" state. Under the Louisiana Civil Code, a spouse is entitled to 50% of any payout from a public or private pension or retirement plan, an annuity policy or plan, an individual retirement account, a Keogh plan, a simplified employee plan, or any other similar retirement plan.

ING does not offer tax advice. Please consult a tax adviser or attorney before making a tax-related investment/insurance decision.

Prospectuses containing more complete information, including charges and expenses, are available. Please read them carefully before you invest or send money. Variable annuities are long-term investments designed for retirement purposes. Early withdrawals taken prior to age 59½ may be subject to a 10% federal tax penalty. Money distributed from the annuity will be taxed as ordinary income in the year the money is received. Account values fluctuate with market conditions, and when surrendered the principal may be worth more or less than its original amount.

Insurance products issued by ING Life Insurance and Annuity Company. Financial planning and securities offered through ING Financial Advisers, LLC (member SIPC), One Orange Way, Windsor, CT 06095-4774, or other broker/dealers with which it has a selling agreement.