No. of Recommendations: 1
TheBreeze,

You wrote, Monthly payment equals $1313.19.
Total payments $236,374.66
IRR: 2.28%


Without logging in anywhere, just doing a 5 sec Google search I found:

Marcus (Goldman Sachs) 1 yr CD at 2.4% and 5 yr at 2.6%.
I'm not sure what you have to do to open an account to get this.
But it seems like you could do the 5 year rate and then take 5 years to figure out what to do next.


It looks like one key difference has been missed: With the CD, you spend the money and it gets used up and then you have no more. The SPIA or SPDA pays you for life. ...


Are you certain? Really certain?

Because you conveniently omitted the policy terms in Hawkwin's post. Here it is in its entirety:

SPIA quote I just ran:

15 yr Period Certain
<--- Extremely important.
Female age 65
Monthly income, Qualified assets
Payments starting 10/1/2019
No inflation rider
$200,000 initial investment

Monthly payment equals $1313.19.
Total payments $236,374.66
IRR: 2.28%


That very first pre-condition contradicts your assertion. A 15-year certain term does not pay for life. It only guarantees 15 years of payments, if you live that long. After the 15th year, you're out of luck.

- Joel
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