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PotentiaSM Fixed and Variable Annuity
Product Overview

When planning for retirement, is there any American who does not look for ways to maximize their investments? Especially when you are looking for ways to enhance your retirement savings opportunities. As an employee of a not-for-profit organization that participates in a Potentia Special Pay Plan or FICA Alternative Plan, you can maximize your retirement savings opportunities with Potentia Fixed and Variable Annuity. Potentia offers you a broad spectrum of variable investment options with a fixed interest alternative from which to choose.

Annuities are long-term investments. Income taxes are payable upon withdrawal. Federal withdrawal restrictions and tax penalties may apply to early withdrawals. Investment values will fluctuate so that your investment units when redeemed can be worth more or less than their original cost. Annuity contracts typically include limitations, exclusions and expense charges. Fees may apply, including Separate Account Annual Expenses, which are annualized at 1.45% and Annual Net Fund Expenses, which range from 0.35% to 1.16% based on the investment option selected. The current Annual Net Fund Expense is the Total Annual Fund Expense less any expense waivers or reimbursement. Fees and expense waivers or reimbursements are subject to change.

Contributions to your Potentia Fixed and Variable Annuity contract qualify to be tax-deferred, subject to applicable contribution limits and related rules. That tax deferral is a result of issuing the contract, which satisfies specific important tax law requirements, including plan requirements, under your employer's retirement plan. It does not result from the mere fact that the contract is an annuity. Therefore, you do not receive any additional tax-deferred treatment of earnings beyond the treatment provided by the tax-qualified retirement plan itself.*

*Taxes are due at withdrawal.

Features and Benefits

Employees of tax-exempt organizations can take advantage of powerful tax legislation enacted especially for them. Your employer invests unused sick, annual-leave, vacation pay or other forms of special pay. You defer taxes on your contributions to the plan, and permanently save any Social Security and Medicare taxes on contributions to the plan. 

Certain governmental employees can contribute to a FICA Alternative plan instead of Social Security. As a part-time, seasonal or temporary employee, you are eligible to participate in your organization's FICA Alternative plan with pretax contributions. The FICA Alternative Plan reduces your current tax liability because your contributions are made before tax withholding.

To obtain a 403(b) Potentia contract prospectus click here. For the underlying fund prospectuses, click here.The prospectuses contain the investment objectives, risks, charges, expenses and other information about the respective investment company that you should consider carefully before investing. Please read the prospectuses carefully before investing or sending money. Applicable to Policy Form GFVUA-600, a group fixed and variable unallocated annuity issued and guaranteed by The Variable Annuity Life Insurance Company (VALIC), Houston, Texas.