Final Salary transfers: The top five reasons for transferring (and the top five reasons not to)

There are 11 million members of Final Salary pensions (we’ll use that term for simplicity) in the UK. These schemes provide a guaranteed income, which is usually protected against the ravages of inflation. Consequently, it was normal in years gone by, to leave them in place. As transferring them to an alternative arrangement, would usually mean losing the guaranteed, inflation-proofed, income. However, the introduction of Pension Freedom, coupled with higher than normal transfer values, has led to an increase in the number of people considering the option of transferring their Final ...

Three reasons an Annuity might be the right choice and how to get the best rate

Annuities were never the most popular of options for retirees. Often seen as inflexible and poor value, many were bought begrudgingly by people who thought they had no other option. Since Pension Freedom was introduced, the number of Annuities being bought has dropped significantly. Figures from Retirement Advantage show that around 180,000 have been bought over the past two years. Despite a fall in popularity, there are still many reasons why an Annuity might be the right way of turning your pension into an income: 1.You want a guaranteed income, which ...

Retirement: Six times when an Annuity is still the right answer

clouds in shape of figureFollowing last month’s Budget, many people, for journalists to so called industry experts have predicted the death of the Annuity. We don’t believe this is the case, in fact to paraphrase Mark Twain, “reports of the death of Annuities has been greatly exaggerated.” Don’t misunderstand us, we firmly welcome George Osborne’s proposals, to give people greater access to their pension pot. The increased flexibility will benefit many people when they come to retire and also encourage ...

Retirement: Annuity rates in record fall, again!

Any would-be retirees hoping for a break from falling Annuity rates will need to think again following the publication of a new report which shows record breaking falls in Annuity rates. The Moneyfacts Treasury Report: Personal Pension and Annuity Trends makes depressing reading for anyone approaching retirement, although people who bought an Annuity earlier in the year may well feel vindicated by their decision not to delay. According to the report, Annuity rates are heading for their biggest fall in a single year since 2002, having dropped by 8.6% for a male aged 65, since the start of the year. The ...