Personal Finance and Investing

is $2760/year. If you were to annuitize the $32,000 lump sum, and take out 4% a year, which is the recommend amount that has a fairly high chance of making the money last forever, you could take out$1,280/year, less than half the annuity. Meanwhile, that lump sum amount isn't likely to last all that long, and then you'll have less money coming in every month.

So based on absolutely nothing else, I'd say go with the annuity. However, others have addressed other things you need to consider.

Oh. You go on Medicare at age 65, and it takes remarkably little time to get into the system. Less than a month, in my experience. So file six weeks before that birthday, and the card will arrive in the mail rather quickly.

I hope it all works out well for you.