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Old 01-18-2011, 09:08 AM   #21
gone traveling
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Originally Posted by BooBoo View Post
What should I do ? annuity or take my lumps and run ?
You could consider what I did. The company I retired from had the same types of annuity options (e.g. through a third party provider).

What I did was take their "options" and matched it against my/DW's "requirements".

For us, the result is that I took the lump sum and bought a life annuity (SPIA) for DW/me that will pay us as long as one of us are alive, with a minimum guaranteed term. If we both pass before that term is up, the remaining payments go to our estate.

I started my research using but also used input from providers such as VG/Fidelity. Not all providers gave us what we wanted so we kept on looking to get the plan that met our requirements.

While the SPIA is not inflation adjusted (we wanted to maximize montly payments in ER), it does provide me with the ability to delay SS till age 70 to maximize my benefit for me while I'm alive, but also for DW assuming I die first. In essence, I'm "trading up" from the SPIA to a superior inflation adjusted product (e.g. SS) with having the SPIA as an addition to income at that point. Also, the delay of SS till age 70 will let me claim 50% of my DW's SS at my FRA so I will be getting SS income, however not my own for a period of four years.

Just what we did, in a similar situation...

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Old 01-18-2011, 09:09 AM   #22
gone traveling
Join Date: Apr 2009
Location: Eastern PA
Posts: 3,855
Originally Posted by haha View Post
Lots of cowboys around here.
He Haw! (or is it "He Ha"? )...

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Old 01-18-2011, 09:53 AM   #23
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Give me a forum ...
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Join Date: Aug 2006
Posts: 12,484
Everybody's got an opinion.............
Consult with your own advisor or representative. My thoughts should not be construed as investment advice. Past performance is no guarantee of future results (love that one).......:)

This Thread is USELESS without pics.........:)
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Old 01-18-2011, 02:44 PM   #24
Thinks s/he gets paid by the post
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Join Date: Jul 2006
Location: Denver
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Re: your question - lump sum or annuity...

There isn't enough information in the OP for a response.

I do know that you can't take 7% a year from your lump sum & be sure it will last your your joint lifetimes.

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