The best annuity is delaying Social Security until age 70. You can view each year's decision as an annuity; you give up your age-62 benefit in return for additional money starting at age 63, then your age-63 benefit in return for additional money starting at 64, and so on.\Our house will be paid off next month and we have almost 4 million in various IRA and TSP Accounts with about 80% stocks and 20% bonds. We have about $140,000 in cash/cd's and $150,000 in various stocks.
I also will get a pension when I retire that along with an inherited RMD should cover almost half of our planned monthly retirement income.
The next best for you is receiving some of your TSP as an annuity. This would be equivalent to a retail SPIA: you give up $X in your TSP, and you get $Y every month for the rest of your life. However, the government can get a better deal on annuities than you can at retail; for the same X, you will get a larger Y.
As a government retiree, you should rarely consider any other annuity until you have maxed out those two.
Statistics: Posted by grabiner — Sat Feb 01, 2025 10:11 pm — Replies 21 — Views 830