The paper, Annuitization of Social Security Individual Accounts, discusses the pros and cons of mandatory versus voluntary annuitization. It explores:
· when to convert account balances,
· what benefit forms to use,
· who could provide the annuities,
· how to price annuities fairly, and
· how the benefits could be taxed.
The Academy is a non-partisan public policy association representing US actuaries. The Social Insurance Committee consists of government and private sector actuaries who have expertise in the Social Security program.
The Issue Brief was delivered to the members of the President’s Commission to Strengthen Social Security prior to its November 29th meeting.
For a copy of the Issue Brief, go to http://www.actuary.org/pdf/socialsecurity/annuity_nov01.pdf