A $100,000 annuity can provide reliable retirement income for near-retirees. According to an analysis of Cannex data by Annuity.org, the monthly payments for a $100,000 lifetime income annuity are as follows:
* Male, age 65: approximately $652 per month
* Female, age 65: approximately $627 per month
* Joint life, age 65: approximately $570 per month
These figures assume an elevated rate environment and take into account factors such as gender, interest rates, and type of annuity. However, other factors like health status, lifestyle, and payout structure can impact the actual monthly payment.
While a $100,000 annuity won’t replace a full salary in retirement, it can offer supplemental income to help with essentials like groceries, utility bills, or healthcare costs. The predictable nature of an annuity provides peace of mind for those concerned about market swings or running down their savings too quickly.
However, whether an annuity is suitable depends on individual circumstances, including overall retirement strategy, need for guaranteed income, and desired flexibility in the future. For many retirees looking to turn part of their nest egg into predictable monthly payments, a $100,000 annuity can be a compelling option to consider.
Source: https://www.cbsnews.com/news/what-a-100000-annuity-pays-at-age-65