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Retiring in 2018....

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mel
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Retiring in 2018....  Reply with quote  

Hi, this seems like a good place to get multiple opinions -

I am currently 62 and plan on joining my husband in retirement in 2018. He is collecting a monthly pension, and I plan on collecting one when I retire. We both have 401K's with our employer/former employer which we could roll over now into something (an IRA). However, we talked to a financial advisor and she suggested annuities (specifically Symetra Edge). I'm really not sure if this is the smartest move...opinions? Suggestions?
Thank you for your input -
Maria
Post Mon Jun 20, 2016 5:07 pm
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oldguy
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lol, One thing that you run into when you retire is lots of folks wanting to sell annuities to you. A few years ago Congress warned (threatened?) them to quit pushing inappropriate annuities onto the elderly. In general annuities are a very high commission product, thus the over-sell. Plus you have to purchase the life insurance (which you may not want or need).

Keep in mind, if you spend your money to buy an annuity that money is GONE, it's not like a mutual fund where you can sell it later. And also note, the rates that are promised seems very good, but that is because it is simply your own principal that is being paid back to you.

IMO, that would be about the worst thing to do with your 401k's. I would go with a n-load fund company (such as Fidelity or Vanguard) and do a rollover into an IRA. (Or, if you really really want an annuity, you can buy them from the no-load companies.)
Post Mon Jun 20, 2016 5:25 pm
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littleroc02us
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This weekend I was washing windows for a 89 year old lady that I've been helping for years. Turns out she's lost a ton of money to a financial advisor who ripped her off with a promise of huge returns from annuities. Well, sadly for her, the money has been embelzed and she may never see the money again. Make sure whomever you get advice from has the heart of a teacher and is either a referral or checks out industry wide.

Risk comes from not knowing what you're doing. (Warren Buffet)
Post Mon Jun 20, 2016 9:21 pm
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littleroc02us
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By the way, Old Guy is right, look into Vanguard.

Risk comes from not knowing what you're doing. (Warren Buffet)
Post Mon Jun 20, 2016 9:21 pm
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