Re: Too much inherited money - how to tax shelter in the USA?

"Phil Marti" <prm20871@[EMAIL PROTECTED]
> writes:
> <photoguy_222@[EMAIL PROTECTED]
> wrote:

> > Annuities are a popular, tax-deferred investment vehicle for those in
> > or near retirement
> 
> They're especially popular with the people who sell them.  Watch out
> for fees and early redemption charges.  Not all annuities are bad,
> but be very careful.

However, buying a deferred annuity "in or near retirement" is
almost exactly the opposite of their purpose.  An *immediate*
annuity - to start a guaranteed cash stream (like a pension)
may be appropriate for "in or near retirement" but a deferred
annuity (like typical VA) is mainly useful if you have a long
long time for the tax-deferral to add value - ie. for those
far from retiring.

Some of those folks selling them have gotten in trouble for
selling VAs to elderly folks for whom they were entirely
inappropriate.  Though it seems to still happen all the time.


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