A tranquil and harmonious retirement is ideally something we all want to ensure once we end our career in work. A key element which effects your retirement is the level of income you can draw from an annuity.
Of course this is something most of us will not consider until we get to retirement age as we are so busy getting on with our lives. Some of the reasons why we don’t think about an annuity include… lack of knowledge, lack of comprehension and laziness.
Those who work in pension and savings find this surprising as securing the best annuity can mean boosting your income by as much as 40% or more.
The immediate question which puzzles many who need an annuity is…. where does ones go to nail down the best annuity calculator? There are tens of starting points when it comes to getting an annuity including… an Independent Financial Adviser, your incumbent pension company and the web. All of these have plus points and negative points, so be in no doubt you choose the most suited option for your situation.
You could be thinking do I need to consider all these options, but receiving the correct advice is important when looking for pension annuities. Should you fail to compare annuity providers you could miss out on a much higher retirement income. Millions of people who get an annuity without checking other providers think afterwards if only I had decided to compare annuity providers.
A number of these retirees might have also been in line for an impaired life annuity, which could have the result of them now missing out on a better income in retirement. It must be noted however that the 40% increase is only given to those people who suffer from serious medical impairments. Some examples of the conditions which make one eligible include… stoke, organ replacement and Multiple Sclerosis.
Your attitude to this might be that…. ‘I have not had a heart attack or serious illness’. Even if this is affirmative you might still be entitled to an annuity that is better than a conventional annuity. Commonly you will be offered better rates if there is evidence you drink heavily or smoking on a regular basis. The lesson here is that you must inform your annuity company of any ailment or lifestyle choice which may effect how long you live for.
The reasoning which lays behind why providers can offer higher rates is that they will have to pay out for a shorter number of years. It should also be mentioned that increased rates can be offered if the person has been subject to any of the following medical problems arthritis, asthma or liver transplant. This proves that there are several medical issues which can lead to a better pension.
So to ensure you don’t miss the opportunity of earning a higher annuity payout, get shopping for an annuity today.
About the Author
If you want to get an approximation of the best annuity then you can use an annuity calculator. This is a simple tool which will show you an illustrative example of what kind of rates you are eligible for.