The May IRS rates are out. I have never seen such a horrific jump in rates. The critical middle segment has surged all the way back to 2013 rates, nine years ago. Don't look at your lump sum - it is too depressing. I'll have to work another five years just treading water.
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Umm, the market is still well ahead of where it finished 2020, so if you took the lump and invested it you are in great shape. If you have the annuity, you are down by about 15% and will NEVER recover that unless we have deflation, which has never happened.
June IRS Minimum Present Value Segment Rates out. More bleeding for lump sum. Good luck!!
@fcj, you must be like 30. You missed out on 20+ years of unsustainably low interest rates, the key word there is "unsustainable". The only reason they stayed that low that long is a) politics (both parties), and b), most importantly, inflation stayed low as well. Now that inflation is out of control (thanks to irresponsible stimulus spending), FED interest rates will rise back to their more typical range of 4-7%, then settle (up or down) to match the long-term inflation rate. There is no hope whatsoever that interest rates will be that low again. Anybody who took the lump sum between 2013-2021 was the clear winner.
The rates will go back down and the lump sun will go back up. Same song & dance.
I predict less than 3 years.
Meanwhile, those 2020 EOI folks are basking in their incredible "right timing".
Depressing
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