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Jesse Cramer

TIPS Ladders vs. Fixed Annuities 🤼

Published about 12 hours ago • 1 min read

Good morning!

Today's email includes:

-- a podcast episode about the history of retirement in America

-- a mathematical breakdown of TIPS ladders vs. annuities, inspired by a recent book

-- quick content about the "magic" mortgage rate, about Medicare Part D premiums, and about ACA healthcare increases in 2027

The Surprising History of American Retirement

Many of us see retirement as a rite of passage or a standard phase of life.

But that's not always been the case.

The American concept of retirement has evolved as much as the country has itself.

And by understanding the genesis of the American retirement system - including the sweeping changes that have occurred along the way - you'll be better educated about your own retirement circumstances.

Tune in below!

TIPS Ladder vs. Annuity: Building a Retirement Paycheck

I was inspired by one of Rob Berger's recent videos.

Some retirement experts love the fixed income floor provided by annuities.

But Rob rightly pointed out - can't a TIPS ladder provide something similar, but with a significantly better upside?

I decided to breakout a handy spreadsheet and run some math myself.

So - just how does a TIPS ladder compare to a simple immediate annuity?

Read more below...

The Top 3...

I enjoyed this content recently. I hope you do too. And in the spirit of today's Social Security post, here are 3 more insightful Social Security articles...

​The "Magic" Mortgage Rate...​

A simple, powerful graphic.

Today's 30-year mortgage rates are ~7.5% for consumers with average credit scores, and ~7.2% for consumers with excellent credit scores.

So... what rate would bring more buyers back into the market?

​Medicare Part D: 50% Increase Next Year​

If you don't know KFF, bookmark it.

The independent health policy think tank is chock-full of wonderful information especially if you're planning for healthcare in retirement.

They project Medicare Part D will increase from $34 per month to $51 per month for the average enrollee next year.

​ACA Going Up Too...​

...And for earlier retirees (and many normal working Americans) not yet old enough for Medicare, there's unfortunate news on the ACA front.

Affordable Care Act premiums are projected to increase about 15% next year.

Something's gotta give...

I Help People Retire (Even) Better

I'm a Partner at a fee-only fiduciary retirement planning firm.

We work with clients all over the USA.

If you know someone who needs help, visit PlanWithJesse.com and let's start a conversation.

Until Next Week...

Thank you for reading, listening, and writing back. People like you send me questions every day.

I'd love to hear from you. ​​

All the best,

Jesse Cramer

Jesse Cramer

Smart ideas about money and retirement.

Retirement is a different game. You’ve spent decades building wealth. Now comes the harder part - turning it into a paycheck that lasts. I’m Jesse Cramer. I help DIY investors turn their savings into a clear, cohesive retirement plan. Join 4000+ weekly readers and 20,000+ podcast listeners.

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