Since the recent change in pension legislation many more people can obtain enhanced annuities.
For more information on enhanced annuities click here
Pension Annuities are:
A low risk way of providing a pension income for the rest of your life.
This is the closest form of pension to the more traditional final salary scheme. These pensions enable you to set whatever terms you require and you have the confidence in knowing what pension you will have and, if appropriate, what your beneficiaries will receive in the case of your death.
More and more people are deciding to take their pension early nowadays, once they are eligible (age 55).
This can be to increase income in the run up to full retirement or to enable people to take a less stressful job or reduce their hours, in effect, semi retiring.
When purchasing a Pension Annuity they will assess:
• Your age
• Your life expectancy
• The investment they can achieve with your pension funds
This annuity calculation will produce an annuity rate at which you will be paid and is relative to the world wide interest rates and gilt prices.
Normally you can take a tax free lump sum (normally up to 25%) which can be used for any purpose i.e. paying off the mortgage, going on a special holiday or buying a car.
We shop the open market to obtain the best rates.
Frequently the best rates are provided by companies who only deal with intermediaries. We access this market on your behalf