This is all well & good; potentially even at a cost of $11,000. However, to evaluate this option, you need to give us a bunch of details:1. Your current age?2. What mnthly benefit would you receive and at what age would it commence?3. Any special features attached to (2) above?4. Anything unusual about your health/life expectancy?With these data we can do a future value computation to determine:A. Spend the $11k to buy the years to buy the benefit in (2) above.B. Invest the $11k for N years (say to age 65) which will create a lump sum of $XXX which can then be converted into an immediate annuity of $ZZZ per month.Currently 43 YO, with repurchase would be able to retire at 25 years service & 55 years of age. Current conservative estimates (since I don't know my final 3 years of compensation yet for accurate figures)is $1700 per month for life after retirement. I would also have an option of working until I had 30 years of service for additional monthly benefits - currently I will have to work until I'm 60 for the 25 years.As I said in another message, most likely the $11,000 would not be invested since I'm planning on using money we'd saved for another property purchase. If I don't put this money into this retirement, we will most likely be spending it in the future for some property to be used down the road in retirement. If I use the money, and then we later find property to purchase we'll then worry about a loan for that.Thanks for all input - it all helps me to look at it in different ways.
Best Of |
Favorites & Replies |
Start a New Board |
My Fool |
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. Market data provided by Interactive Data.
Company fundamental data provided by Morningstar. Earnings Estimates, Analyst Ra