Mr. Jones' pension pays $3,000 a month under the single life annuity option or $2,550 a month under the joint and 50% survivor annuity option. Mr. and Mrs. Jones elect the joint and 50% survivor annuity. What is the effective "cost'' of the 50% survivor annuity?
|
$450 per month
|
|
$1,500 per month
|
|
$2,550 per month
|
|
$3,000 per month
|