No. of Recommendations: 1
Fools do not like annuities. Most are highly profitable to the people who sell them. You are probably talking about an immediate annuity--the best kind. Still, they are costly for what they offer.

Fools would prefer that you put 3 to 5 years expenses in to a laddered maturity portfolio of treasuries and put the rest in stocks. Ie replace the annuities in your plan with bonds.

You can always buy an annuity if you decide the treasuries don't meet your needs. The reverse--getting out of an annuity--is costly. So do an annuity only if everything else fails.

Annuities do increase your income. But they are like a reverse mortgage. At the end of your life they are not an asset in your estate. The insurance company keeps the money.
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