What do you think of the Aviva MyRetirement plan?

No doubt it is a decent plan.

However, you do have to ask yourself if this plan is suitable for you in the long run since the policy terms is almost 5 decades long and you would not be able to see your money for the next 37 years.

It would be good to consider the following before you purchase this plan:

1) Are you adequately covered in terms of insurance?

2) What is your risk profile? (Conservative, Moderate, Adventurous)

3) Based on the guaranteed income, it is worth S$255 per month in today's terms (inflation rate of 2%) Would that be sufficient for you?

4) Have you considered other sources of investment?

The internal rate of return is 2.57%.

Total premiums: $38,500

Total guaranteed income: $95,400

If I remember correctly, there is also a maturity payout for this plan. Generally speaking, this is a decent plan. While some might say, you are still young, should put in investments instead, I find nothing wrong to have some level of guaranteed income set up to hedge against dividend fluctuation in your retirement. This is especially true if you are risk adverse.

Additional recommendations will be to compare between different insurers and different plan (there are some that provide lifelong income) to see which one is more suitable to your retirement goals.