Guide to - Annuity Planner · 2017-10-27 · you’ll need to know what pension savings you already...

Guide to buying an annuity

2 Guide to buying an annuity

Call 01737 233435 or visit onlineannuityplanner.com/moneyfacts/v1/planner

You now have more flexibility than ever before when it comes to using your pension savings. Of course all those new options can make it difficult to know what’s best for you.

An annuity is still the only financial product that offers you a guaranteed income for life and you can structure it to suit your needs. You may want to protect your income against inflation or perhaps provide for your loved ones.

On page 10 of this guide you can explore the different ways to personalise your annuity income.

What’s more, you don’t have to buy your annuity from the company looking after your pension savings. By shopping around and providing details of your health and lifestyle, you could achieve up to 40%* more retirement income (please see the

information below which shows the details this figure is based on).

Whether you’re simply researching options or you’re looking for a better guaranteed income, this guide’s designed to help. And, if you’d like more support or just have a question or two, you can always give us a call on the number below.

If you’d like to see how different annuities compare, our online annuity planner at onlineannuityplanner.com/moneyfacts/v1/planner can help you find a good fit for your needs.

Welcome to our guide to buying an annuity

*The information was prepared on 22 Sept 2017. The 40% is achieved by comparing the lowest standard annuity rate against the best enhanced rate for a 65-year-old male who is 5 foot 10 and weighs 11 stone. He is a smoker, is underweight and is on medication for high blood pressure and cholesterol. He has had lung cancer in the last three years, has had surgery, radiotherapy and chemotherapy and is on medication. We have provided this figure by using a representative sample of providers via HUB Financial Solutions Limited. It is also based on an RH2 7RU postcode, and a pension pot of £25,000, with a five-year guarantee period, no escalation (see page 11) and no value protection (see page 16), with monthly payments in advance. The comparison is based on rates available on the open market option only. Smaller increases would apply for less serious medical or lifestyle conditions.

https://www.onlineannuityplanner.com/moneyfacts/v1/planner?cid=MF071





Contents1. Things to consider as

retirement approaches 4

Money and budgeting

Find out how much State Pension you’re entitled to

Consider the value of your current pension pot

How long could you live?

2. Get a clear picture of your pension pot 5-7

Tracking down old pension schemes

Personal pensions

Workplace pension schemes

Guaranteed annuity rates

State Pension

Other savings

3. Find out more about types of annuity 8-9

Lifetime annuities

Other types of annuity

Investment-linked annuities

Purchased life annuities

Variable or third-way annuities

4. Structure your annuity to suit your needs – choosing your annuity options 10-16

Take a tax-free cash lump sum

Scheduling your retirement income

Protecting your income against inflation

Explaining inflation-proofing options

Providing for your loved ones

5. How to use our online annuity planner 17

6. What happens when you apply for an annuity? 18

7. Other ways you can get a retirement income 19

8. Still unsure? 20

9. Ready to convert your pension savings into a guaranteed income for retirement? 20




1. Things to consider as retirement approachesEntering retirement can be quite an upheaval. Making a few preparations now could help make sure everything’s in place when you come to that next phase of life.

There are a few things you’ll want to think about.

Will you be ready to retire completely or would you rather keep working in some capacity?

How much income will you need in retirement?

How can you add to your pension pot in the final year before you retire?

What will your final pension funds be worth and how much State Pension will you receive?

Money and budgetingKnowing what your future income and costs will be helps you see how your retirement will look from a financial perspective. Can you afford to retire now, or do you need to wait a while? To plan things properly, you’ll need to know what pension savings you already have. You can find out more about pension savings on page 5.

Based on the information you give about yourself, our online annuity planner will offer you a range of personalised annuity quotes. This lets you know what retirement income you could receive for life, so you can plan your retirement with confidence.

Find out how much State Pension you’re entitled toYou need to know how much your State Pension will be – and find out any other benefits you could claim. Remember, your State Pension payments may not start the day that you retire. You’ll want to include the right start date in your budget. You can read more about the State Pension on page 7.

Consider the value of your current pension potYour pension provider should send you a statement each year telling you the value of your pension pot. They should also tell you the annuities they offer and explain your options. You may want to take some tax-free cash from your pension pot for example.

It’s possible to have more than one pension pot – so you’ll want to make sure you’ve considered them all.

Not sure where your pension pots are? Page 5 helps you trace lost pensions.

How long could you live?It’s important to consider how long your retirement savings may need to last, especially as we’re all living longer these days. Even if you decide to retire in your 60s, you could be retired for another 30 years, so it’s worth bearing this in mind when you are thinking about giving up work completely.




2. Get a clear picture of your pension potYou may have saved into a number of pension schemes over your working life. Perhaps you did it through your employer or your own business – or maybe you’ve set up a personal pension.

When considering retirement, you need to know the details and pot sizes of all of your pension schemes.

Here are a few questions you’ll need to answer:

Which providers are your pensions with?

When does each provider expect you to retire?

What type of pensions do you have?

What is the current total value of all your pension plans?

What is the estimated value of all your pension plans at retirement?

What income will your pensions pay out when you retire?

What are the features and benefits of that income?

Does your pension have a ‘guaranteed annuity rate’ (GAR)?

Knowing where all your pension savings are is critical to get the most from your combined pot. Once you have this information you’ll be able to use our online annuity planner to give you an accurate quotation.

Tracking down old pension schemesIf you’re not sure where your pension pots are – or how much is in them – here are a few tips on finding out.

Most pension providers issue letters and statements, at least once a year. These should tell you all you need to know.

If these letters aren’t available, contact your provider to ask for up-to-date details.

To find out a provider’s name, you can contact your employer from when you were paying into the scheme.

Don’t worry if your old employer isn’t able to help. You can always use the Pensions Tracing Service. Call them on 0345 6002 537 or go to gov.uk/find-pension-contact-details – they’re there to help you find lost pensions.

Personal pensionsWith a ‘personal pension’ you build up a pension fund by investing your or your employer’s pension contributions (or both) with an insurance company. You can then use the money in this fund to provide an income by shopping around to buy an annuity. This is known as the ‘open market option’.


http://gov.uk/find-pension-contact-details



Workplace pension schemesThere are basically two types of workplace pension schemes. Some employers offer a mixture of each.

1. Defined benefit schemes – also known as final salary or average salary schemes

This type of pension pays you a set income which is guaranteed for life. It’s based on things like your length of service, your earnings before retirement, and the percentage of your salary that the scheme pays for each year’s service.

You may be able to change your retirement age. You can contact your scheme administrator to check.

To understand how your defined-benefit scheme pension works and to estimate your likely retirement income, contact the employer that offered that scheme. They should be able to answer your questions in detail.

We don’t cater for this type of pension scheme. With this sort of scheme it’s unlikely that you’ll find a better deal than the one you have. In fact, you could be worse off in the long run if you give up your defined-benefit pension. We recommend that you get professional advice on that – especially if you’re offered a large amount to give up this type of benefit.

2. Defined-contribution schemes – also called money-purchase schemes

In this type of scheme you build up your pension fund by investing personal or employer contributions (or both) while you’re a member.

These contributions grow to provide a pot of money, which you could use to buy a pension income.

It’s important when converting these funds that you make an active decision on what’s best for you. Consider your options carefully and shop around for the best deal – which could be in the form of an annuity.

Guaranteed annuity ratesGuaranteed annuity rates are special rates that some pension schemes offer. If you’ve got one of these, you may see it referred to as a ‘GAR’.

If your pension has one of these, it may mean it’s linked to a very good annuity rate. It could give you a higher retirement income than any rate currently available through the open market option.

The downside with a GAR is that it may only apply if you choose certain pension options. It may also restrict you as to when you must take the annuity out.

It’s always good to compare the income generated by your GAR with that available if you shop around.

If you switch away from your provider, you may lose these guarantees. If you are thinking of withdrawing your pension fund, it’s worth speaking to a financial adviser first to understand the value of the guaranteed rate that you may lose.




State PensionIf you’ve reached State Pension age on or after 6 April 2016 you’ll be entitled to receive the new State Pension.

The full new State Pension is £159.55 per week. This will apply to men born on or after 6 April 1951, and women born on or after 6 April 1953. However, the amount may be lower, depending on your National Insurance (NI) contributions. It may also change if you have previously ‘contracted out’ at any point. Your NI record will decide the exact new figure. You’ll usually need at least 10 years of qualifying NI contributions to get anything. You’ll need to have at least 35 qualifying years’ worth of contributions to receive the full pension.

To find out more, please visit: gov.uk/new-state-pension

This link takes you to:

information on the previous basic State Pension, including eligibility criteria

instructions on how to claim your entitlement and how it’s worked out, and

the relevant forms and application details to ask for an estimate of how much State Pension you should qualify to receive and when.

If you reached State Pension age before 6 April 2016 then the maximum you can receive is the full basic State Pension, currently £122.30 per week.

If you don’t qualify for a full basic State Pension, you may be able to top up your State Pension to £73.30 per week if you’re married or in a civil partnership, through your partner’s NI contributions. Eligibility conditions do apply. You can find out more and check how much you’d qualify for by visiting: gov.uk/state-pension/eligibility

Other savingsYou may use all or most of your pension pot to buy an annuity. You may also have other forms of savings besides your pension pot.

These might include cash in the form of bank or building society accounts, shares, bonds, ISAs, property or a variety of other savings or investment plans. They’re all worth considering as each could help create extra money for your retirement. Or you could keep these as a rainy-day fund.


https://www.gov.uk/new-state-pension

https://www.gov.uk/state-pension/eligibility



3. Find out more about types of annuityLifetime annuitiesLifetime annuities are designed to give you peace of mind and a guaranteed retirement income for life, no matter how the financial markets perform.

How much income will I get from an annuity?

A number of factors affect the amount you receive from an annuity:

The amount you have in your pension pot.

Your age.

Whether you take a tax-free cash lump sum and, if so, how much.

If you take an initial taxable lump sum over and above the 25% tax-free cash amount – though not all providers offer this facility.

The annuity options you choose – things like linking income to inflation, or providing for your loved ones. You can find more information about these options on pages 11 and 13.

What about health and lifestyle?

With an annuity, poor health and lifestyle could get you a higher income – by as much as 40%*. Everyone can get a personalised income that is tailored to their own personal circumstances. Many providers will offer a bespoke annuity rate based on simple things, like your height and weight and postcode for where you live.

Providers may also take into account fairly common factors such as smoking, the amount of alcohol you drink, and high cholesterol or blood pressure levels. So you could get a higher income even if you consider yourself to be ‘healthy’.

Your income could be increased further if you suffer from medical conditions, such as diabetes through to more serious conditions such as cancer and heart disease.





Other types of annuityThere are other various types of annuity available. We have explained these below.

Our online annuity planner doesn’t offer access to these other types of annuity. If you’re considering one of these other products, you’ll need to get financial advice.

Investment-linked annuitiesThis type of annuity takes your pension fund and converts it into a lifetime income. Unlike a normal lifetime annuity, the amount you receive may vary.

Your provider will invest part of your pension pot in funds. That means you’ll receive more or less income depending on how these funds perform.

When considering this type of annuity, you should make allowances in case the investment and your income fall.

Purchased life annuitiesThis type of annuity will pay a guaranteed income either for life or for a fixed period of time. People usually buy purchased life annuities with savings or money from an inheritance or by using tax-free cash taken from a pension fund when they retire.

A purchased life annuity gets taxed differently to a pension annuity.

Variable or third-way annuitiesThis annuity gives you an income while keeping your funds invested. Variable annuities usually have some in-built guarantee which protects pension savings from falls in value while at the same time allowing for some investment growth.

A variable annuity will invest your pension into your chosen provider’s funds. You’ll take an income in a similar way to a drawdown pension. The main difference is that the funds in which you invest your pension are guaranteed.

These guarantees do come at a high cost – which makes this product uneconomical for many. Also, there’s no guarantee that your future income will be as high as that offered by a conventional annuity that you might buy today.

If you’re considering one of the products described on this page, you’ll need financial advice. If you already use a financial adviser, we suggest you speak to them about this type of product.

If you don’t currently use a financial adviser, we can help you find one. Or you can visit the Personal Finance Society website at thepfs.org/yourmoney/find-an-adviser


http://www.thepfs.org/yourmoney/find-an-adviser



4. Structure your annuity to suit your needs – choosing your annuity options

There are several ways that you can tailor your annuity with our online annuity planner and comparison site.

Take a tax-free cash lump sumTaking a tax-free cash lump sum is a popular option.

You can withdraw this tax-free cash from your pension pot (also known as a ‘pension commencement lump sum’ or ‘commutation’) before committing to an annuity. Some of the main points to bear in mind if you’re thinking of doing this are shown below.

You can take up to 25% of your pension fund as a tax-free cash lump sum at the start of your policy.

You can then use the rest of your pension fund to buy an annuity that generates your retirement income.

You can take less than 25% or even nothing at all – it depends on your personal circumstances. Of course the more you take as tax-free cash, the less of your pension fund there’ll be to create an income when you retire.

Our online annuity planner and comparison site will let you see the possible effect that your tax-free cash lump sum will have on your retirement income.

Scheduling your retirement incomeAnnuities can pay your retirement income at a frequency that suits you – every month, every three months, every six months or even every year. Here are some things to consider when choosing your frequency.

You can either receive the payments upfront (in advance) or at the end of your payment frequency (in arrears).

What you choose will depend on your circumstances. How are you at budgeting between payments? You’ll also consider the effect your schedule may have on your cash flow when you are retired. Less-frequent income payments will mean budgeting for longer periods.

Payment will stop once you die unless you have included an option to transfer your annuity to someone else. (See the section ‘Providing for loved ones’ on page 13.)

Due to the increased pension options you may be able to reduce your annuity income. This might allow you to vary your income. As an example, you might take a higher initial income payment and then reduce it at a later date (not every provider offers this).

The diagram on the next page shows how different payment options and timings work. It also reveals when you will receive your first payment.




Protecting your income against inflationIt’s worth considering how inflation could eat into your annuity income over time. The real value of your income could gradually reduce. Many people who have retired find one of the biggest financial challenges in retirement is budgeting to live on a fixed income.

You can choose for your annuity income to stay the same each year – ‘level income’. This annuity option will mean that, in effect, you receive a higher starting income, but as the cost of living rises (inflation) your income will buy you less over time.

Or, you can choose for your income payments to increase each year – by a certain percentage (you can choose this option on the online annuity planner), or

in line with inflation – using the Retail Prices Index (if you choose the inflation option, you’ll need to call us).

This is called ‘escalation’. You would receive a lower starting income compared with a level annuity. Then your income would increase each year to help offset some, or all, of the effects of inflation. With escalation, if you’ve linked to the Retail Prices Index, you must remember that when prices fall, your income will also fall. You can protect against this, by choosing the ‘with floor’ option or a fixed-percentage increase.

Explaining frequency and timings

January February March April May June

POLICY STARTS

ANNUITY HOLDER DIES

Policy terms continue until death

All in advance£

Month in arrears£

Quarterly in arrears£

6 months in arrears£




The graph below shows how the ‘level income’ option may compare with an income linked to inflation. You can see how the inflation-linked option will reduce your income initially but increase each year after this. Level income will be higher at first but won’t increase over time.

On the other hand, with an inflation-linked option it may take years for you to get back the income that would be lower from the outset.

Explaining inflation-proofing options

Regular income

Level

Years

3%

5%

RPI

Explaining inflation-proofing optionsOur online annuity planner will give you quotes for different levels of inflation protection. You’ll be able to see the possible effect on your income of the different options. Our online annuity planner doesn’t compare all options – please call us to ask about other inflation-linked options.




Providing for your loved onesAn annuity pays you a regular income for life. Then once you die, your payments will usually stop (this is known as a single-life annuity). You can add options to make sure a loved one continues to benefit from your annuity income after you’ve passed away.

Joint-life annuity

The main option for this is a dependant’s pension, also known as a ‘joint-life’ annuity. This will pay a percentage of your income, usually 50%, 66% or

100%, to a financial dependant if you die before them. The higher the percentage you choose to pay your dependant, the more your income will be affected.

Some providers offer you the option to have someone other than a financial dependant, called a nominee, as a beneficiary on an annuity plan. Payment made to a nominee is called a ‘beneficiary’s pension’.

The diagram below shows how this option works.

Explaining joint-life annuity options• At the start you can choose for a percentage of your pension to be paid to your husband or wife, civil partner or another

person who is financially dependent on you after your death.

• You can choose different percentages of your income.

• The higher the dependant’s pension you choose, the lower the annuity income will be.

Year 1 Year 2 Year 4 Year 5

ANNUITY HOLDER DIES

Policy terms continue until death

Year 3

No joint-life annuity pension annuity being paid £

50% joint-life annuity pension annuity being paid

Spouse/partner continue being paid 50% of your pension annuity until their death £

Spouse/partner continue being paid 100% of your pension annuity until their death £100% joint-life annuity

pension annuity being paid

ANNUITY HOLDER DIES

Our online annuity planner will give you quotes for 0%, 50% or 100% dependant’s pension so you can see the possible effect on your income. Please call us to find out more about any other percentages (of a dependant’s pension) that you may want to get quotes on. Our online annuity planner can only provide a quotation if your dependant is aged over 50, so if your dependant is younger than this, please call us.




Guarantee period

Your annuity provider will pay an annuity income for as long as you live. If you’re in poor health or worried you may not get the best value, you can choose a guarantee period of up to 30 years. This makes sure that if you die within that period, your annuity will continue to pay a beneficiary you have chosen for the rest of the chosen period. Your guarantee period

starts at the same time as your annuity plan starts. You can choose (nominate) anyone to receive the income during a guarantee period, either through your annuity provider or in your Will.

The diagram below shows how this option works.

Explaining guarantee periodsAt the start you can choose to include a guarantee period, which will start at the same time as your annuity plan starts. If you were to die before the end of the guarantee, payments would continue to be made to your nominated beneficiary for the rest of the guarantee period.

Yr 1 Yr 2

Pension stops on death

Yr 3 Yr 4 Yr 7Yr 5 Yr 8Yr 6 Yr 9 Yr 10

NO GUARANTEE £

5 YEAR GUARANTEE £

10 YEAR GUARANTEE £

10 YEAR GUARANTEE £

ANNUIITY HOLDER DIES

ANNUITY HOLDER DIES

Your beneficiaries continue to receive your income for the remainder of the 10 year guarantee period

You may outlive your guarantee period. Your pension payments continue until you die.

Your beneficiaries continue to receive your income for the remainder of the 5 year guarantee period

Our online annuity planner provides quotes for various guarantee periods. You’ll be able to compare the possible effect on your income of choosing different options. Our online annuity planner doesn’t compare all options – please call us to ask about other guarantee periods.

With some annuities, you can choose both a joint-life annuity and a guarantee period. Then if you die within the guarantee period, your nominated

beneficiary could receive both payments at the same time. This is called ‘with overlap’. If you prefer, you can choose to make the payments one after the other. We would pay any remaining guarantee period first, and the joint-life annuity would start at the end of the guarantee period. This is called ‘without overlap’.




The diagram below explains overlap.

Explaining ‘WITH’ and ‘WITHOUT’ overlapIf you select both a guarantee period and a dependant’s pension there is the possibility that both options could be activated at the same time. Should this occur you can choose whether they ‘overlap’ and provide your beneficiaries with two incomes or run consecutively.

Yr 1 Yr 4Yr 2 Yr 5Yr 3 Yr 6

GUARANTEE CHOSEN FOR 5 YEARS £

£

£

GUARANTEE PERIOD CHOSEN FOR 5 YEARS £

ANNUITY HOLDER DIESANNUITY HOLDER DIES

DEPENDANT’S DEATHDEPENDANT’S DEATH

Your beneficiaries continue to receive your income for the remainder of the guarantee period

Dependant’s pension with overlap in addition to the guarantee payments from your pension your dependants start to receive the dependant’s income until their death

Your beneficiaries continue to receive your income for the remainder of the guarantee period

Your dependant’s start to receive their annuity income until their death

No income

With overlap

Without overlap




Value protection

Value protection pays a lump sum to your beneficiaries if you die before receiving the full value of your pension fund. When you take out your annuity, you can choose to protect a percentage of your pension fund, right up to 100%. Please call us to ask about other amounts of value protection which are not in the options in our online planner. Our online annuity planner does not compare all annuity options.

The lump sum your provider will pay when you die will be the percentage that you’ve protected minus

the total gross annuity income you’ve already received. If you’ve chosen this option and you die before the age of 75, your provider will pay the lump sum to your beneficiary tax-free. If you die after the age of 75, your beneficiary will pay tax on the lump sum at their marginal rate (see below).

Some providers limit value protection so that they only pay it if you die within a certain time period, for example before your 75th birthday.

Explaining value protection

AMOUNT OF PENSIONS PROTECTED AT OUTSET

0%

50%

100%

Receive 50% of any pension remaining (i.e. not already received as income) less any tax

Receive 100% of any pension remaining (i.e. not already received as income) less any tax

Yr 1 Yr 4Yr 2 Yr 3

Annuity income received

Value protection benefit pays a lump sum

ANNUITY HOLDER DIES

Marginal tax rate

This is the tax band that you enter after counting all income, including withdrawals from your pension. Marginal tax rates vary depending on your level of income. The rate doesn’t increase for your entire income, just for each amount above a certain threshold.

Once you’ve set up your pension annuity, it’s not possible to change the structure. So the choices you make on areas such as death benefits, payment schedule and inflation allowance are fixed. This means that once your cancellation period has passed, you won’t be able to change your mind.

Also, you’ll no longer be able to access the money you used to buy the annuity as it’ll already be providing your regular income. Researching and understanding your options is central to making the right decisions for your retirement.




5. How to use our online annuity plannerWe have designed our online annuity planner to help you shop around for the best annuity income. First you structure your annuity to suit your needs (see section 4 for what we mean by structuring).Then simply compare quotes from leading providers.

To get quotations designed for you, you’ll need to give us some personal information such as:

your contact details

the value of your pension pot (or pots), and

details of your health and lifestyle.

These health and lifestyle questions let us work out if you could qualify for a higher income. Even minor medical conditions, like raised blood pressure or high cholesterol levels, or if you smoke, could increase your income each year.

Retirement is the one time when your medical and lifestyle situation could really improve your lifetime income. So, let us know everything that you think might help us get you a better rate.

What happens next?Once you’ve given us your details, you’ll receive quotes from a range of leading providers. Please compare these quotes with the annuity quote from your pension provider. If you want to get an application pack for your chosen quote, you can get this using our online service, or by calling us.

If you’d prefer to get some advice on your decision first, we can put you in touch with an expert who will charge a fee. As mentioned on the previous page, you can also visit the Personal Finance Society website to find an adviser, at thepfs.org/yourmoney/find-an-adviser





6. What happens when you apply for an annuity?When you receive your application pack, the next step is to read the information carefully. Once you’re happy to go ahead, you’ll need to fill in the application form and return it to us.

We’ll then help to make sure the process is as smooth and straightforward as possible.

You could start receiving your retirement income less than three weeks from the day we receive your

application. However, please be aware that the speed with which your annuity is set up depends on how quickly your pension provider transfers the funds to your chosen annuity provider.

Remember, if you want help at any stage, just call us on the number below.




7. Other ways you can get a retirement incomeAn annuity is the only way to guarantee an income for life, but an annuity is not the only option you have to provide yourself with an income in retirement. There are other options.

Cash – if you have a personal pension savings pot, you are now able to take all of the pension savings out as a cash lump sum, or as a series of lump sums. Beware though, because only the first 25% is tax-free. If you cash in the rest of your pension pot, it would be taxed at your highest marginal rate. It could also push you into a higher tax bracket. You can spend or invest the money however you want, but remember, once it’s gone, it’s gone! You can see the effect of taking up to 25% of your personal pension savings as a tax-free cash lump sum with our online annuity planner.

Drawdown – this is a product that lets you keep your pension invested. You can still take your tax-free cash as a lump sum and then take an income from the remaining funds – this is called ‘drawdown’. It gives you a lot of flexibility, but you have the risk of running out of money over time if you take too much cash out initially. Remember your investments could go down as well as up.

Stay invested or defer – if you don’t need to secure an income for your retirement just yet, you can choose to delay taking your pension income, or leave your pension savings invested. While your pension savings are invested, your provider will continue to charge administration fees. However, it’s important to be aware that because your money stays invested, the value of your pension pot could go down as well as up.

Use a combination of retirement income options – you can create your own bespoke retirement solution by using a combination of the above options. Remember to consider an annuity if you’re planning a combination-style approach to providing your retirement income.

Our online annuity planner does not cover drawdown products, staying invested, deferring your pension income or using a combination of retirement income options. It’s a good idea to get financial advice before considering any of these options as they involve an element of risk.

Another thing to bear in mind is how long your retirement savings might need to last you. We’re all living longer, and even if you decide to retire in your 60s, you could have 30 years of retirement to look forward to. When deciding to give up work completely it’s important to consider how long you may need your retirement income to last for.



Still unsure?If you’re not sure how to use your pension savings, why not take advantage of the free guidance available from the Government’s Pension Wise service at pensionwise.gov.uk. Their website offers useful information on how to use your pension savings.

Or, you can speak to your financial adviser. If you don’t have a financial adviser, you can visit the Personal Finance Society website at thepfs.org/yourmoney/find-an-adviser to find one. Please be aware that advisers will charge for providing financial advice. We recommend that you get confirmation of what their charges are likely to be before they begin.

Ready to convert your pension savings into a guaranteed income for retirement?If you’ve decided that a guaranteed income for life is right for you, remember to shop around for a better rate. By shopping around for an annuity on the open market, and providing details of your health and lifestyle, you could get up to 40%* more income for your retirement.

Our online annuity planner makes shopping around easy and lets you structure your annuity to suit your needs.

You can provide for your loved ones after your death.

You can protect your income against inflation.

You can choose how often your annuity income is paid.

Of course you’re more than welcome to call us and we’ll do it all for you.


For more information or to arrange an appointment:

Call: 01737 233435^

Our UK based team is available from 9am to 8pm, Monday to Friday (not including bank holidays). Please note your call may be monitored and recorded and call charges may apply.

1491077 06/2017

HUB Financial Solutions Limited was previously known as Just Retirement Solutions Limited.

HUB Financial Solutions Limited. Registered office: Vale House, Roebuck Close, Bancroft Road, Reigate, Surrey RH2 7RU. Registered in England and Wales Number 05125701. HUB Financial Solutions Limited is authorised and regulated by the Financial Conduct Authority. Part of Just Group plc.

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The Moneyfacts Annuity Service is provided and administered by HUB Financial Solutions Limited. Call charges may apply for non-freephone numbers and calls may be monitored and recorded. Moneyfacts.co.uk Limited registered office: Moneyfacts House, 66-70 Thorpe Road, Norwich NR1 1BJ. Registered in England and Wales No. 6615303. Moneyfacts.co.uk Limited is authorised and regulated by the Financial Conduct Authority.

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Guide to - Annuity Planner · 2017-10-27 · you’ll need to know what pension savings you already...

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Transcript of Guide to - Annuity Planner · 2017-10-27 · you’ll need to know what pension savings you already...