Honestly, if you have between $900k and $1 million in your 403(b), you've got more options then they're going to make it appear that you do, provided that your living expenses aren't out of this world. With that kind of a nest egg, I really do like the idea of subscribing to the "bucket" approach that I have read about on Morningstar and other places. Basically, you act as your own personal endowment, with say 4-5% of your portfolio remaining in short-term securities and cash each year (1st bucket), which you can take as income for that period. The rest of the portfolio is invested in buckets of decreasing liquidity/longer duration/maturity (2nd bucket should be short-term bonds, 3rd bucket intermediate-term issues, 4th bucket long-term bonds, 5th bucket index funds/stocks, and 6th bucket private equity/real estate, etc.)Obviously, the exact asset allocation all depends on your own unique financial situation, but if you've got a big enough nest-egg, as you appear to have, the aforementioned approach is more advantageous than simply getting an immediate annuity in the current low-rate environment. If you were to adopt the strategy, I strongly suggest purchasing individual bonds rather than funds, as you will need to essentially ladder bond maturities to provide predictable revolving income (bond funds' duration vary constantly and make that a messy proposition).
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