I Gibbs

Comments:

• Way to go loosening the iron grip! There is no prize for being the richest man in the cemetery.

  Post: Where It Goes

  Link to comment from April 13, 2024

• Great article! I'm a little confused about the concern with the cost of Fidelity's cash balance accounts. WIth FZDXX I am getting a 7-day yield of 5.16% and surely that is net of fees? I don't think there are much better rates available elsewhere.

  Post: Totally Your Choice

  Link to comment from March 30, 2024

• I have a personal story that illustrates a benefit of immediate annuities that I rarely see discussed. My grandfather was a hard worker and a saver who lived frugally and accumulated a good amount of retirement savings that he self managed. He made emotional decisions and pulled his money out of the market in the crash of the early 2000s. He then became convinced thought investment newsletters that the market would continue to collapse and “shorted”, which shrunk the account even more as the market rebounded. Mostly out of frustration, he took what was left and put it into a couple of fixed immediate annuities with a monthly payout. Fast-forward a few years, while in the early stages of Alzheimers he began to fall victim to scammers who phoned him constantly, asking for increasing large amounts of money. He eventually drained his checking and saving accounts, and it was only brought to light when he returned home angry after a teller at his bank refused to process a cash advance on his credit card. Lots of lessons here, but a big one is that I shudder to think what would have happened if he had access to the funds that were locked up in the annuity. These were essential for his eventual long-term care and kept my grandmother out of poverty when he passed. No matter how intelligent and wise a person may be in their prime, a good portion of retirement planning should be spent on protecting you from yourself.

  Post: An Annuity Instead?

  Link to comment from December 30, 2023