I'm super noob here so bear with me. This weekend my FIL was telling me his colleagues are talking about an annuity where they put $400,000 down and get a guaranteed $2500 income for his and spouse's lifetime. I tried to see if this was a good deal and used an online calc that allowed me to figure our the monthly payout per month. Conservative number said 2999 per month, aggressive said 3500 or more. Don't remember. That calculator was oversimplified anyway. So now I apply the 4% rule (just read the article) since it pretty much guarantees not dying broke, and take that same $400,000, withdraw 4% 1st year, and I get $1333 income per month. So why wouldn't I choose the annuity with almost double guaranteed income until death?