How An Annuity Improves A Retirement Plan

January 8, 2019 by Jack Guttentag

“Your article on annuities [Does An Annuity Belong In Your Retirement Plan?] did not demonstrate that an annuity always improves a retirement plan.”

True, Warren Buffet’s retirement plan would not be improved by an annuity because he will not face the mortality and investment risks of a retiree with limited resources. Retirees with limited resources face the risk that if they live too long, and/or their assets earn less than expected, they will run out of spendable funds. There is also the risk that if they die too soon, and/or their assets earn more than expected,  they will leave financial assets to their estate that they would have preferred to spend on themselves.

Click HERE to read the full story via Forbes. 

Originally Posted at Forbes on January 5, 2019 by Jack Guttentag.