My parents adopted a “Die broke” retirement philosophy. It’s predicated on spending down your assets such that you leave as little estate as possible when you exit.
We kids saw to it that they were comfortable and protected.
My inheritance (such as it was) came in the form of an annuity. I know that it is there but there isn’t much that I can do with it. It doesn’t pay enough in dividends to do much more than go out to dinner once a quarter.
I regard it like a Christmas Club account - eventually I will cash it out as I draw down my own assets. At least I know that it never loses value.
In my Dad’s case, we had to spend down his meager IRA saving so we could get him into some low-income programs that our state offers for Seniors. We had $21K to liquidate, so we just used it up on everyday expenses over the course of three years. (Rent, utilities, stockpiling consumable household items, etc.)
So far, so good, and Care Wisconsin is taking wonderful care of him. Of course, they take all but a few hundred of his SS income every month, but so far it is money well spent for good care.
I plan on going the same route and will try to die broke, too. Screw ‘em! :)