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If nestegg consists of $1.2M in 401k and IRAs can I fund a retirement of $85K per year by buying a large fixed annuity? My age is 60. I have no pension. I plan on getting Soc. Sec. at age 62. My wife is already collecting $756/mo from Soc. Sec. I ask this question because the answer given on the site says that at the beginning of next year I can retire with at least $94K income. figures a conversion to a fixed annuity to calculate the retirement income.

That answer seems larger and simpler than the more conservative 4% or 5% of nest egg figure to estimate an annual retirement income.

It isn't obvious to me if investing in a fixed annuity involves a huge income tax when converting from a tax deferred investment to the annuity.
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