UnThreaded | Threaded | Whole Thread (6) | Ignore Thread Prev | Next
Author: JABoa Big gold star, 5000 posts Feste Award Nominee! Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 78166  
Subject: Re: Bucket of Money Date: 1/28/2000 3:41 PM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 0
Here's another thought: "annuitize" yourself. The $1200 a month on $96,000 for 10 years is an imputed 8.7% return after management fees. Somehow, I have my doubts you'll find an insurance company to promise 10% to you before their fee.

But, as you suggest, you could probably make that sort of return on your own. Maybe you couldn't -- you've got to factor risk in, as you wouldn't with an insurance company -- but probably you could. The other consideration is that in a classic annuity, the money runs out when your heartbeats do, and there is no residual death benefit. You can get other terms, but typically at a lower return.

So what I'm suggesting you consider is the same 3 bucket idea, but with the first 2 buckets being the same vehicle, and both controlled by you.

Really, we are talking about how to draw down your assets. You want to visit the "Retire Early" board that intercst has, and his independent site.
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (6) | Ignore Thread Prev | Next


The Retire Early Home Page
Discussion on accelerating retirement day.
Post of the Day:
Berkshire Hathaway

How to Improve Wal-Mart
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.