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Immediate Annuities

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ByScott

L1: Immediate AnnuitiesDo the new rules (specifically, 120% of AFR) have any affect on immediate annuities for clients with qualified funds who are under 59 1/2?2002-12-03 17:01, By: Scott, IP: [127.0.0.1]
L2: Immediate Annuitiesmy guess is tat you missed my previous response, so I”ll post it again…
The short answer – > Without filing for a PLR, no one really knows – the answer maybe yes, but that is a maybe.
IRR typically stands for Internal Rate of Return which can only be calculated after the death of both annuitants – where did you get the quoted IRR without knowing when you will die?
A better question to ask is why would you want to lock yourself into an immediate annuity at age 57, especially with interest rates at record lows. You are trading control of the capital for the promise of a monthly income. And unless you have some other guarantees, if both you and your spouse die that day after you acquire the annuity, you have absolutely nothing – now what”s your Internal Rate of Return?
2002-12-03 17:36, By: Gfw, IP: [127.0.0.1]

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