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URL:  http://boards.fool.com/mark-i-think-expected-longevity-at-65-is-more-25288495.aspx

Subject:  Re: Annuities vs Investments? Date:  3/15/2007  11:19 AM
Author:  iamdb Number:  56281 of 75383

Mark,

I think expected longevity at 65 is more than 24 years, but the annuity provider most likely uses a 60/40 equity/fixed income split which, according to the data Vanguard provides, returned an average annual 9.1% for the period 1960-2005. And as clifp notes, the annual $7000 is fixed, whereas the 4% guideline assumes annual inflation adjustment.

db
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