PLEASE don't start another good vs. evil annuity argument, if you can help it!
Just saw in article that the U.S. government's TSP includes an immediate annuity option, which is interesting to me. Not for practical reasons, just curious is all. I suppose most of those eligible already have a government pension anyway.
Is it backed by the full faith of the U.S. gvnt? (If not, my curiosity just died.) Is it priced according to gender and other characteristics, like if bought in private market?
Have thought in the past that the government could be the ideal seller of annuities, as it should earn a premium for its good credit rating, and the buyer can be more secure over a long retirement. Didn't suspect that one was already offered, to some people. The problems, I thought, would be getting the gvt to price the annuity properly in an actuarial sense (or perhaps it could be a form of wealth transfer), and the Ponzi-ness of it all.
(Could have googled for answers, but thought Nords or others here would have answers in their heads immediately, and even if it's not what I thought, might make interesting discussion. So long as the old battles aren't brought back up again...  )
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