HanRui:I guess what I'm still trying to understand is how does flipping my (modest) Traditional funds in a GSRA impact payout rates if I happen to annuitize those funds down the pike.
Payout Stage Interest Rates for Lifetime Annuities Issued During July 2008
For Benefits Arising From: Interest Rates
2003 - 2008 vintages 5.50%
1992-2002 vintages 6.25
Pre-1992 vintages 8.75
Suppose you had funds in the pre-1992 vintage, and flipped them into the present vintage to get the higher present accumulation rate of 5.25%. If you then annuitized tomorrow, your payout benefits would be based upon the 5.50% vintage. If you had not flipped, then part of your payout benefits (that which you did not flip out of the pre-1992 vintages) would be based upon the 8.75% vintage.
As I mentioned in a prior post, it is also possible that T/C might someday increase the rates in a vintage that you flipped out of...... to a higher rate than the present vintage.
Dick
