A personal finance blog dedicated discussing such topics as budgeting, asset allocation, 401K, IRA, cash flow, insurance, financial planning, portfolio management, and other areas in personal finance.


Wednesday, March 16, 2005

Annuities Inside a 401(k)?

It seems Metlife and Prudential Financial and some other insurance companies are designing annuity products that go inside a 401(k) plan. These are deferred annuities that will pay an income stream to the 401(k) owner once they retire (which is similar to a pension plan).

I don't have a problem with this as long as they keep the fees low and waive the surrender charges. Just make sure you read the fine print.