18 Jan, 2016
Don't risk losing out on an increase in your pension
It is now almost a year on from the pension reforms and you may still be considering how to get the most from your pension savings to help fund your retirement.
Traditionally, a pension annuity has been the most popular option used by those approaching retirement, although other options are available. A pension annuity is still the only way to turn your pension savings into a regular, guaranteed income for life, for you and, if required, a partner. The income you receive is confirmed upfront and will continue to be paid to you, regardless of how long you live.
This often means that the longer you live; the more value you are likely to get from an annuity. Many people choose an annuity for the peace of mind that comes with knowing that your pension income won't run out before you pass away.
However, were you aware that there are a number of choices you can make when buying an annuity that can impact the amount of income you could receive? These include:
• Whether you want your income to continue for a spouse if you were to die first
• If you want to protect your fund for beneficiaries in case you die after buying your annuity
• Whether you want your income to increase over time to protect you against the rising cost of living
Many people risk losing out on extra income as they simply accept what their existing provider is offering them.
Health and lifestyle factors, which often aren't considered in the quotes sent by existing providers, mean that you could qualify for up to 40% more pension income through an enhanced annuity. Comparing the annuity market could provide you with access to higher annuity rates and therefore increased income for life.
Some conditions or factors that may qualify you for an enhanced annuity are:
• High blood Pressure
• Heart disease
• Kidney Failure
However, if a guaranteed level of pension income from an annuity doesn't feel like the right option for you, there are other options you may wish to consider. Contact deVere Group today to speak to one of our highly skilled pension advisers!