In this episode of "Retirement Made Simple," we delve into the fascinating world of guaranteed income and its profound impact on retirement spending. We explore why many retirees, despite having sufficient funds, often underspend in their golden years. We discuss the findings of the Health and Retirement Study (HRS) and how it reveals that households with more wealth in guaranteed income spend significantly more each year than those with more wealth in investments. We also touch on the concept of annuitization and its potential to increase retirement spending.

Furthermore, we examine the role of annuities in retirement spending and how shifting non-annuitized wealth into an annuity can lead to increased spending. We also discuss the way annuities are often obsessed to enrich sales people.