On Apr 26, 11:43 am, Lon <alonzotan...@[EMAIL PROTECTED]
> wrote:
> Though these new funds by "Vanguard" & "Fidelity" have the element of
> risk as do all investments,
> they could work much better for many than annuities. As a retiree for
> the past 17 years and now required to take Mandatory Distribution of
> my IRA, I will be transferring into one of these funds.
> http://socialize.morningstar.com/NewSocialize/forums/thread/2447021.aspx
A joint life time annuity for a 70 year old couple would return about
7.6% with the cost of the policy amortized over 160 months for tax
purposes. That is assuming paying for the annuity outside of an IRA.
If you really don't want the income from the IRA, convert it to a Roth
IRA which has no mandatory distribution requirements. You may want to
do the conversion in parts to avoid a high tax burden. Your AGI would
have to be under $100,000 for a couple to do the Roth conversion. In
2010, the AGI requirement is scheduled to disappear in 2010.
--
Ron
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