Welcome to 123 Annuity Rates
Securing the best annuity rates is a vital step in ensuring you get the highest retirement income possible. Not all annuity providers offer the same rates and once an annuity has been purchased it cannot be changed. Just by comparing providers you could boost your annual income by as much as 40% or more. However, this can only be achieved by shopping around between each provider to see which company has the highest rate. Complete the annuity quote form now to see how much more income you could receive.
Surprisingly most annuitants do not bother to shop around to see which annuity providers have the best deals for them. This results in thousands of retirees missing out on a potentially higher retirement income as a consequence. We advise that when your pre-retirement ‘wake up pack’ comes through the post, you read it carefully before deciding what to do next.
What exactly is an annuity?
In short an annuity is a way of ensuring you have a secure and dependable income in retirement.
An annuity is what you buy from an annuity provider in exchange for the pension fund you have been paying into whilst employed. The provider you choose will then pay you a regular guaranteed income that will be paid for the entirety of your retirement, regardless of how long you live. The money you receive each year from them is taxable and the amount you get depends on how big your pension fund is. Apart from the size of your fund other factors that providers will take into account are your age, your health, which type of annuity you buy and where you live in the UK. As mentioned not all providers offer the same rate, so you must shop around to see who has the best rates. Remember once an annuity has been purchased it cannot be switched or altered so getting the best annuity rates is vital.
Which annuity is best for me?
There are many types of annuities to choose from. The vast majority of people opt for what are known as standard or level annuities. These pay the same amount every year and provide a secure and dependable income for the rest of your life. However, they do not take into account the rising cost of living or inflation, so over the lifetime of your retirement your actual spending power will decrease each year. Below we have outlined the main annuity options available but you can also check out our annuity guides…
- What is a Standard or Level Annuity?
- Inflation Linked Annuities – A Quick Guide
- Short Guide to Fixed Term Annuities
- How do I use the FSA Annuity Tables?
- Who qualifies for impaired-life annuities?
- What are escalating annuities?
- With Profits Annuities
- Unit-Linked Annuities
- List of IFA Resources
- Single and Joint Life Annuities
- What is Capped Drawdown?
- Guide to Flexible Drawdown
- What are Short Term Annuities?
- Third Way Annuities
- Ill Health Annuities
- Flexible Annuities
- Introduction to Phased Retirement
- What are Care Fees Annuities?
- Short Guide to Income Drawdown
- SIPPS Explained
For other annuity options, we recommend you visit retirement supermarket.
Here are some tips for buying an annuity…
- Shop around and do not take the first offer from your existing provider.
- Seek professional advice.
- Think about inflation and the future.