Need info on whether my wife and I should convert our IRA’s to a Joint SPIA (single premium annuity).
Hi Terry, I need to get educated quickly on this. Sales woman is trying to sell us on converting our combined IRA’s (approx. $460,000.00 combined) into a single premium annuity. My wife is 73 and I will turn 74 next month. We both are in reasonably good health for our age. Topics of long term care, asset care, etc. are making my head spin. She seems to be well intentioned but we are not going to do anything until we get fully educated on this. What is your take on this? Also, what questions should we be asking? We always listen when you are on WGN and value your knowledge. Please advise.
Thank you very much.
Terry Says
Only do that if you are trying to fund the SALESWOMAN’s retirement!
It doesn’t make sense to lock yourself into an annuity — a fixed monthly check. At only 3% inflation, the buying power of that check will be cut in half in 25 years — and you are likely to live at least half that long. and your principal is forever out of your reach!
I assume you have SS. That’s a lifetime annuity with an inflation adjustment!
You need to speak to a fee-only FIDUCIARY planner who is NOT TRYING TO SELL YOU SOMETHING.
Find one you can trust here: https://www.terrysavage.com/pam-krueger-wealthramp/
Write back and tell me about your experience! You’ll see the difference.
