There are a number of options available to you when it comes to selecting the most appropriate and beneficial pension annuity scheme for your requirements and circumstances. You shouldn’t simply choose the annuity offered by the company you saved your pension with but, instead, shop around for the best deal to ensure you have as much retirement income as possible. You can view the pension annuity schemes from Age Partnership and consider your options with a free consultation.
Once you reach retirement age you will be given the option to receive up to 25% of your pension savings as a lump sum. This can provide you with the money that’s required to pay off any remaining mortgage or you can use it to go on a once in a lifetime holiday. Remember, though, that this will reduce the amount of money that you have available to buy an annuity so do consider this too.
A lifetime annuity is the most common form of annuity and is what most people think about when they consider a pension annuity. This secures you a lifetime income and you can opt to have your annuity paid at a fixed rate throughout your lifetime or you can have the amount you are paid gradually increased over time to allow for increased inflation rates.
Investment annuities are linked to the stock market and these carry the potential to see your income increase. However, as with all forms of investment of this nature, there is a degree of risk associated with such an annuity. Stocks can increase as well as decrease, and if this happens then you may find that you have less income than you expected during your retirement.
The income from your annuity is designed to see you through your retirement so that you can live comfortably. The more you have saved, the greater your annuity rate is likely to be but remember that you only have one shot at making the right choice so don’t rush into taking the first offer you are given. Instead, take your time to shop around and get the best deal available for you.
Click here for pension annuity schemes from Age Partnership . We can provide you with impartial and beneficial advice on which option is best for your needs.
