• Question
  • we have no debt, 1,500.000. in anunities, is this the best stratagy for long term, worry free

    Asked by a 78 year old man from Clarksville, MD on 10/22/2012

    we have no debt, 1,500.000. in anunities, is this the best stratagy for long term, worry free retirement?

  • Categories: Retirement Planning, Guaranteeing Income, Annuities


  • Editorial 


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  • Congratulations on not having any debt for retirement! That is a major accomplishment and will help you to be more secure throughout this time of your life.

    If you are interested in a "worry free retirement," then you will want to GUARANTEE enough INFLATION-PROTECTED income to cover your costs. You will also want to insure that you have enough savings to fund potential out of pocket medical costs.

    So, a few questions:
    - Does the sum of all of your lifetime income sources (Social Security, some pensions, some annuities) cover your expenses?

    - Does your annuity have inflation protection?

    - Do you have adequate savings for medical costs? Experts say that the average 65 year old couple will spend between $200,000-$400,000 plus in out of pocket medical costs -- depending on whether or not you require long term care as you age.

    - Are your savings that you might require for retirement expenses invested in "worry free" options like TIPS and IBonds or have you carefully considered your investments and made them as "safe" as possible?

    We hope that you found some of this information more personalized for you in the NewRetirement Calculator results.

    Here are a few additional resources t hat might be useful to you:
    -- Worry Free Investing: One of our advisors is a proponent of "Worry Free Investing." He has a provocative and conservative approach to investments and retirement.

    --Free Consultation: Perhaps you would benefit from a free consultation with a retirement advisor. You could ask about how to make your retirement as safe as possible:

    We wish you all the best!

  • Login to rate this answer:   Answered on 10/24/2012
**All above answers are provided as general information only. No warranty is made regarding the fitness or accuracy of the information provided in this answer. You should seek advice from a licensed CPA, attorney or CERTIFIED FINANCIAL PLANNER™ as to your unique financial situation.