Sunday, February 26, 2012

How to "buy your own pension" (IFA's)


Here’s an article, from 2009, Kiplinger, that I thought I would pass along, “Buy a Pension with an Immediate Annuity”, by Steven Goldberg. The discussion concerns IFA’s, Immediate Fixed Annuities, with link here
.

He says that sales people don’t earn much selling them. And once you pay the single premium, it’s out of your hands; you can’t get the principal back for an emergency, ever, beyond your payments.  But if you’re going to live a long time, it could become a good deal. 

I have a variable annuity contract with Met Life (not fixed), and in general many of the same concepts would apply. 

Normally there are beneficiaries, and sometimes a death benefit may remain, depending on the contract.  


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