Withdrawal Charge Free Amount Sample Clauses
The "Withdrawal Charge Free Amount" clause defines the portion of funds that can be withdrawn from an account or investment without incurring a withdrawal fee. Typically, this clause specifies a set dollar amount or a percentage of the account balance that may be accessed within a given period, such as annually, without penalty. For example, a retirement account might allow up to 10% of the balance to be withdrawn each year free of charges. The core function of this clause is to provide account holders with some liquidity and flexibility, while still discouraging large or frequent withdrawals that could undermine the long-term investment or savings plan.
Withdrawal Charge Free Amount. If the Accumulation Value of the contract is at least $10,000 on the most recent contract anniversary preceding a withdrawal under Section 3.5, then the amount withdrawn will be taken first from any eligible portion of the Accumulation Value of the contract that exceeds the total of Net Purchase Payments paid. For each Contract Year, the amount eligible for the Withdrawal Charge Free Amount is the lesser of the following: • the excess of the Accumulation Value of the contract on the effective date of the withdrawal over the total of Net Purchase Payments paid up to the effective date of the withdrawal; and • 10% of the Accumulation Value of the contract on the most recent contract anniversary preceding the withdrawal. Order Of Withdrawal. A withdrawal will be taken from the contract in the following order: • first, from the Withdrawal Charge Free Amount, if any; • next, from the Net Purchase Payments in the order that produces the lowest Withdrawal Charge; and • last, from any remaining amount by which the Accumulation Value of the contract exceeds the total of Net Purchase Payments.
Withdrawal Charge Free Amount. If the Accumulation Value of the contract is at least $10,000 on the most recent contract anniversary preceding a withdrawal under Section 4.5, then the amount eligible for the Withdrawal Charge Free Amount for each Contract Year is 10% of the Class B Accumulation Value of the contract on the most recent contract anniversary preceding the withdrawal. The Withdrawal Charge Free Amount is not available for amounts withdrawn from a Multi-Year Guaranteed Interest Fund during that fund’s Transaction Limitation Period as shown on page 4.
Withdrawal Charge Free Amount. If the Accumulation Value of the Contract is at least $10,000 on the most recent contract anniversary preceding a withdrawal under Section 4.5, then the amount eligible for the Withdrawal Charge Free Amount for each Contract Year is 10% of the Class B Accumulation Value of the Contract on the most recent contract anniversary preceding the withdrawal. The Withdrawal Charge Free Amount is not available for amounts withdrawn from a Multi-Year Guaranteed Interest Fund during that fund’s Transaction Limitation Period as shown on Page 4. Order of Withdrawal. A withdrawal will be taken from the Contract in the following order: • first, any amount being withdrawn from a Multi-Year Guaranteed Interest Fund during that fund’s Transaction Limitation Period as shown on Page 4; • next, from the Withdrawal Charge Free Amount, if any; • next, from the Class A Accumulation Value of the Contract; • next, from the Net Purchase Payments which have not been converted under Section 7.3, in the order that produces the lowest Withdrawal Charge; and • last, from any remaining Accumulation Value of the Contract. ICC12.RR.VA.ABK.(0313) 15