Alternatives to Annuities

There are many different ways for you to ensure that your clients receive the income they need in retirement. This can be generated from a range of different sources including:

  • Rental income from investment properties
  • Yields from income producing investments
  • Dividends from shareholdings
  • Drawing down on capital in savings accounts
  • Interest from deposit accounts
  • Cashing in bonds

Common alternatives The most common way for your client to receive a retirement income from their pension fund without committing to a lifetime annuity is to use a drawdown pension. Clients may also want to consider a Variable Annuity or, depending on their circumstances, be prepared to delay committing to a lifetime annuity.

People whose total value of all pension arrangements is under £18,000* may be able to take the whole fund as a cash lump sum, known as 'trivial commutation'.

Quick Links Just Retirement's Annuity products

* 2011/12 tax year

JR TV

 

Annuity toolkit