ANNUITIES & DRAWDOWN

Annuities

As you enter retirement, your pension fund can be converted, providing you fall within certain criteria, into an Annuity which could guarantee to pay you an income for the rest of your life.  Choosing the right Annuity is of paramount importance as, once you have bought one, you cannot change your mind.

This decision can make a significant difference to you retirement lifestyle and would apply for the rest of your life.  As the Annuity market is extremely complex and highly regulated, it is essential that you obtain expert advice before you make your choices.

We can guide you safely through the Annuity minefield by clarifying your available options and explaining exactly how your choices will affect you and your beneficiaries when you die.

Flexible Drawdown

If you are aged 55 or over and don’t need a secure fixed income for life, Drawdown can provide a flexible alternative.  It can offer you the potential to increase your fund value through investment growth whilst allowing you take up to 25% of your pension fund as Tax Free Cash and could also allow you to take a variable income from the remaining capital depending on your needs.

Drawdown offers more flexibility than a Lifetime Annuity but carries considerable risk, particularly if you live longer than anticipated or your investment does not perform as well as expected, which could mean you could run out of money too soon.

It is therefore essential that you get the advice you need before you make these life-changing decisions.