Happy New Year's Eve to all.
My long standing though has been to stay away from any retirement annuity including TIAA's. The recent announcement from TIAA that their payout rate for the guaranteed portion of a SP ten year guaranteed starting in Jan 2024 as >8% is intriguing. Payout Rate is a proprietary formula at TIAA.
I am interested in hearing from folks who chose to take a TIAA Lifetime annuity in recent years and in particular 2023 to see if there are any regrets; or if anyone is on the cusp of taking an annuity in 2024. Likewise, I am interested in in hearing from TIAA customers who chose the ten-year Transfer Payout Annuities In lieu of a Lifetime annuities.
Background:
Building on an old post from a member of this community, TIAA's Lifetime annuity was defined as a 'Total' of three parts: "X" = guaranteed portion, "
Y" = a variable portion and "Z" = Loyalty bonus (for eligible TIAA customers).
Understanding the Y and Z components are variable - as they are set at the discretion of TIAA's BOD on an annual basis (~March), the > 8% payout
on the "X" portion is not indicative of the entire picture. And, the TIAA proprietary annuity schema makes it difficult to compare their products to competitors.
Thanks in advance for sharing your insights.
Happy, Health and peaceful New Year.
My long standing though has been to stay away from any retirement annuity including TIAA's. The recent announcement from TIAA that their payout rate for the guaranteed portion of a SP ten year guaranteed starting in Jan 2024 as >8% is intriguing. Payout Rate is a proprietary formula at TIAA.
I am interested in hearing from folks who chose to take a TIAA Lifetime annuity in recent years and in particular 2023 to see if there are any regrets; or if anyone is on the cusp of taking an annuity in 2024. Likewise, I am interested in in hearing from TIAA customers who chose the ten-year Transfer Payout Annuities In lieu of a Lifetime annuities.
Background:
Building on an old post from a member of this community, TIAA's Lifetime annuity was defined as a 'Total' of three parts: "X" = guaranteed portion, "
Y" = a variable portion and "Z" = Loyalty bonus (for eligible TIAA customers).
Understanding the Y and Z components are variable - as they are set at the discretion of TIAA's BOD on an annual basis (~March), the > 8% payout
on the "X" portion is not indicative of the entire picture. And, the TIAA proprietary annuity schema makes it difficult to compare their products to competitors.
Thanks in advance for sharing your insights.
Happy, Health and peaceful New Year.