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Author: culcha Big gold star, 5000 posts Old School Fool CAPS All Star Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 72254  
Subject: Re: Vanguard Guaranteed Life Withdrawal Benefit Date: 10/30/2011 1:40 PM
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I don't know much about annuities ... but isn't it the case that even though the person has a guaranteed dollar amount of income, that dollar amount is fixed, and the forward march of inflation will mean that the purchasing power of that income will grow smaller and smaller?

This seems to compare most unfavorably with something like the 4% Safe Withdrawal Rate, which then adjusts the annual dollar amount withdrawn in order to keep up with inflation.

culcha
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