Am I getting the best deal?
Pensioners are being deprived of £43,000
Choosing the right annuity option could well be the most important decision you have to make in planning your retirement.
There are so many factors to take into consideration we cannot express strongly enough that Professional qualified advice is essential to provide the peace of mind you and your family are entitled to!
Types of Annuity
Often referred to as a traditional or standard lifetime annuity, the conventional annuity provides you with a guaranteed income for the rest of your life, regardless of the performance of the financial markets.
If you are or have been ill in the past, have mild health problems, have an unhealthy lifestyle, serious impairment or an illness that affects your life expectancy, an enhanced annuity will give you a higher income. Annuity providers can pay you more each year as you are likely to receive the income for fewer years than a healthy individual.
Fixed term annuities
This is a type of drawdown arrangement that offer more flexibility than traditional lifetime annuities but without exposing your pension fund to any investment performance risk. They offer a guaranteed income (within government limits) for a fixed period of time and a guaranteed maturity lump sum at the end of your chosen plan term.
Variable annuities provide a guaranteed level of income, lower than a conventional annuity, with the potential of future increases as a result of the performance of a selected investment fund.
Investment-linked annuities offer the potential for your retirement income to change based on the performance of its underlying investments.