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The SARP® Program

Sales Associate Retirement Program – SARP®

The SARP® (Sales Associate Retirement Program) is a Commission Deduction Process” that gives sales associates the ability to defer a percentage of their earnings into their own personal retirement plan*.

SARP is a pre-tax retirement plan that can either be a SEP or a SIMPLE IRA.

As an independent contractor, there is no employer-employee relationship between you and your affiliated sales organization. Therefore, the issue of retirement planning becomes one that must be addressed personally. The SARP® is a great way to put your planning into action.

A SEP is a Simplified Employee Pension Plan… Because this is a simplified plan, the administrative costs should be lower than for other, more complex plans. Under a SEP, employers make contributions to traditional Individual Retirement Arrangements (IRAs) set up for employees, subject to certain percentage-of-pay and dollar limits. 

A SIMPLE IRA Plan… Savings Incentive Match Plan for Employees of Small Employers - is an IRA-based plan that allows employees to elect to defer a part of their salaries into the plan for retirement. Because this is a simplified plan, the administrative costs should be lower than for other, more complex plans. Under a SIMPLE IRA plan, employees and employers make contributions to Individual Retirement Arrangements (IRAs) set up for employees, subject to certain percentage-of-pay and dollar limits. 

HOW IT WORKS… The sales agent signs an “authorization letter” that permits their affiliated sales organization to deduct a percentage (%) from each of their commission checks. The money is contributed directly into the retirement account established by the individual sales associate.   

THE FUNDING VEHICLE… EQUI-VEST®, a deferred variable annuity issued by AXA Equitable Life Insurance Company, is used as the funding vehicle for the SARPTM.

THE FUNDING VEHICLE…
Here are some facts about the EQUI-VEST® deferred variable annuity:

You can help protect your contributions in several ways.

  • Guaranteed Interest Option (GIO)
  • Death Benefit (Guaranteed Minimum Death Benefit)

EQUI-VEST® may generate income for the long term in a variety of ways, including:  

  • Single or joint survivor payments 
  • Payments for a specific term of years or for life  
  • Flexible payments – lump sum and systematic withdrawals

Variable annuities offer tax advantages such as:**  

  • Funds that generally accumulate on a tax deferred basis
  • Tax-free transfers among variable investment options
  • Tax-favored payout alternatives

EQUI-VEST® offers growth potential with:

  • Dozens of variable investment options through its multi-manager investment platform.
  • No charge for transfers among the investment options

Diversification helps manage risk, including:

  • Diversification among asset classes, market capitalization and investment styles
  • Options that invest in domestic or international securities, employ a growth or value approach, participate in portfolios of small, mid and large cap stocks, and offer the opportunity to benefit from high yield, investment grade or U.S. government securities. 
  • Guaranteed Interest Option which offers a guarantee of principal and interest

We help you stay focused with: 

  • Asset Allocation strategies such as Investment Simplifier
  • Ability to withdraw up to 10% of your account value annually without incurring withdrawal charges.
  • Personalized customer service through the EQUIVEST®
  • Customer Service Center at (800) 628-6673
  • Automated customer service for account balances, transfers and other information at (800) 755-7777
  • Written confirmation notices for every financial transaction
  • Quarterly Statements that have won the Dalbar Annuity Service and Communication Award
  • Online access to your account and investment option performance through www.axaonline.com
     

Variable annuities are long-term financial products designed for retirement purposes. Variable investment options will fluctuate in value and are subject to market risks including loss of principal. Variable annuities are subject to fees and expenses including mortality and expense risk, investment management fees and surrender charges.

**Because this EQUI-VEST® annuity contract would be used to fund a Sales Associate Retirement Plan, you should be aware that such annuities do not provide tax deferral benefits beyond those already provided by the Internal Revenue Code.

Before contributing, you should consider whether its features and benefits beyond tax deferral meet your needs and goals.

You may also want to consider the relative features, benefits and costs of this annuity with any other investment that you may use in connection with your retirement plan or arrangement.

This summary is not a complete description of all material provisions of the contract and must be preceded or accompanied by a current EQUI-VEST® variable deferral annuity prospectus and any applicable prospectus supplements, which contain detailed information about the EQUI-VEST® contract including investment objectives, risks, charges and expenses. You should read this summary and the prospectus carefully before purchasing a contract. Certain types of contracts, features and benefits may not be available in all jurisdictions.

EQUI-VEST® is a registered service mark and issued by AXA Equitable Life Insurance Company, and distributed by AXA Advisors, LLC, 1290 Avenue of the Americas, New York, NY 10104 (212) 314-4600. AXA Equitable and AXA Advisors are affiliated companies.

 Contract Form # 92SEP, 92NQI, 2003ENSEP, 94IC, 2003ENSIMI, and any state variations. 

 PPG 28475 (10/04)