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for sasaba:

All of us face the dilemma of managing our retirement money: spend too fast, and you'll have an impoverished advanced old age; spend too slowly and you'll unduly enrich your deserving and undeserving heirs, where the underserving include IRS. The book "Die Broke" is by Stephen Pollan and Mark Levine; I agree that it is worth reading. The authors more or less advocate the policy of shifting your retirement money into annuities that expire when you do, so that you can indeed die broke. That approach doesn't appeal to me because all the annuities I've seen have such miserably low pay-outs. That makes sense from the point of view of the annuity sellers, of course, since they are in business to make money. Buying one of their products seems equivalent to making them your heir, and they don't deserve that consideration from you. My partial solution to this dilemma is to make a tax-free foundation the heir of my IRA, currently my largest single asset. The foundation can inherit my IRA without anyone paying income tax or inheritance tax. Meanwhile, I can pay myself an annuity out of the IRA and that payment can be inflation adjusted and grow with the market.


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