Nationwide Monument Advisor review

Yes, for the right buyer. This is an excellent annuity for someone who wants tax-deferred accumulation with full liquidity and minimal costs, particularly at larger account sizes. It is not the right product for someone whose primary goal is guaranteed lifetime income, because no living benefit rider is offered.

The main reason to buy Monument Advisor is tax-deferred growth at a cost that is a fraction of what traditional variable annuities charge. The secondary reason is full liquidity — there are no surrender charges at any time, which means the buyer is never locked in. In real life, this is the type of annuity someone buys when they have maxed out their 401(k) and IRA contributions, have additional investable assets, and want tax-deferred growth without the cost drag and liquidity restrictions of a traditional VA. The advisory fee tax treatment is an additional planning benefit for nonqualified accounts.

Monument Advisor is best for higher-net-worth investors working with fee-based financial advisors who want tax-deferred accumulation beyond what qualified plans allow. It is a strong fit for someone with a long time horizon who wants to invest in a diversified portfolio without annual tax drag on gains, dividends, and rebalancing. It is also well-suited for someone who values full liquidity and does not want to be locked into a surrender period. It is less attractive for someone who wants guaranteed income, needs a product with living benefit riders, or has a smaller account where the flat fee represents a higher percentage of assets.

You are buying a tax-deferred investment wrapper with the lowest possible insurance cost. Monument Advisor is not really about insurance features — it is about the tax treatment. Gains, dividends, and capital gains from rebalancing are not taxed annually inside the annuity, which allows the portfolio to compound more efficiently over time. The insurance wrapper is the vehicle that makes that tax deferral possible, and Monument Advisor charges the least for that wrapper of almost any VA on the market.

Monument Advisor gives you access to 320+ investment options from 50+ fund families, and you can trade among them unlimited times at no cost. The portfolio grows tax-deferred, meaning you do not pay taxes on gains, dividends, or rebalancing activity until you take withdrawals. The cost for all of this is a flat $20 per month — $240 per year — regardless of account size.

To put that in perspective, a traditional VA with a 1.25% mortality and expense charge on a $500,000 account costs $6,250 per year just for the insurance wrapper. Monument Advisor costs $240. On a $1 million account, the traditional VA costs $12,500; Monument Advisor still costs $240. The cost advantage compounds over time and becomes one of the most significant factors in long-term performance.

The advisory fee tax treatment is a meaningful planning benefit for nonqualified accounts. Under an IRS private letter ruling, up to 1.50% of the annual average contract value can be withdrawn from a nonqualified Monument Advisor contract to pay advisory fees without triggering a taxable event. In a traditional investment account, advisory fees are paid with after-tax dollars and are no longer deductible for most taxpayers. Inside Monument Advisor, those fees effectively come out of the account on a pre-tax basis.

The Return of Premium death benefit option is also worth noting. For 0.15% annually (available up to issue age 80, not in New York), it guarantees that beneficiaries receive at least the total purchase payments less withdrawals, even if the account value has declined. That is a modest cost for downside protection on the death benefit.

There is no surrender schedule. Monument Advisor offers 100% liquidity at all times. You can withdraw any amount at any time without surrender charges. This is one of the most significant advantages of the product and is rare in the variable annuity market.

The full liquidity means Monument Advisor can function as a complement to a taxable investment portfolio rather than a locked-up insurance product. Buyers are not penalized for changing their minds, and advisors are not constrained by surrender periods when managing client assets. The only cost consideration on withdrawals is the tax treatment — withdrawals from a variable annuity are taxed as ordinary income on gains, not at capital gains rates.

The fee structure is the simplest in the VA market: **$20 per month ($240 per year)**, flat, regardless of account size. There is no mortality and expense charge. The optional Return of Premium death benefit costs 0.15% annually. Underlying fund expenses still apply, as they would in any investment account.

The main tradeoff is the absence of living benefit riders. Monument Advisor cannot provide guaranteed lifetime income, guaranteed minimum withdrawal benefits, or any other income floor. Buyers who want those features need a different product. The other tradeoff is tax treatment on withdrawals — gains come out as ordinary income rather than capital gains, which can be a disadvantage for buyers in higher tax brackets who plan to withdraw large amounts.

Monument Advisor is issued by Jefferson National Life Insurance Company, a Nationwide subsidiary. Jefferson National pioneered the flat-fee variable annuity model and was acquired by Nationwide in 2017. The product is backed by Nationwide's Fortune 100 balance sheet, with ratings of A+ from S&P, A+ from AM Best, and A1 from Moody's, and $322.3 billion in total assets. The combination of Jefferson National's innovative product design and Nationwide's financial strength makes for a strong foundation.