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Our social security checks, which have an inflation kicker, act like fixed annunities except for the inflation kicker bonus. I'm thinking about each of us buying a fixed annunity from Vanguard or TIAA that would generate a lifetime income that matches our social security income. Thus each of us would have essentially two guaranteed income streams that are enough to take care of all our normal needs. The balance of our money would then be invested in conservative stock and balanced funds with Vanguard or Fidelity. Finally, if in our later years, we need more income, we can take a reverse mortgage on our home.

If you take out single person standard annuity, that payment ends with death. So, your income stream will drop from loss of SS benefit, and from loss of the annuity from the party that died.

You should also look at annuity with survivorship. That gives you less initial payout, but continues to pay out in the event of a death of one of the two people.

Also, you might look at bond funds (corp bonds) - funds for monthly that would likely pay as much as an annuity. An annuity provides ZERO in your estate when you die. You can get inflation adjusted annuity - payout schedule is lower, naturally, initially.

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