Income Drawdown: Higher income now available, but should you take it?

Available now stampThe announcement just before Christmas, by Chancellor George Osborne, that the maximum income available from Income Drawdown plans would be increased, took many people by surprise; the fact that HMRC are implementing the new limit from late March 2013 is perhaps even more surprising, as many industry experts thought it would take far longer for the change to be made. Rising living costs, falling gilt yields and Annuity rate reductions mean the increase in ...

Annuities: Annuity rates fall to lowest level for years

Annuity rates fall to lowest level for yearsA new survey has confirmed what many people who retired in 2012 probably already knew, that Annuity rates have fallen to alarmingly low levels, however, there is some good news for women coming up to retirement. According to Moneyfacts, the financial information provider, the Annuity rate for a 65 year old man plummeted by 11.5% in 2012, the largest drop since 1998 and a massive blow to would-be retirees, who have already had to cope ...

Annuities: Confusion over Annuity rates

Confusion over Annuity ratesConfusion reigned in the Annuity market this week as one leading provider announced their unisex Annuity rates. Up until now, Annuity providers have been able to offer men and women different Annuity rates, with men generally getting a better rate than women, due to their shorter life expectancy. However, from 21st December 2012 Annuity providers will have to offer the same Annuity rates to men as well as women....

Retirement: When should you buy your Annuity? Now or wait?

With volatile stock markets and falling Annuity rates the timing of an Annuity purchase can be tricky. We thought we would take a look at the advantages and disadvantages of buying your Annuity now. Buying your Annuity now – Advantages Income now. This might sound pretty obvious but the main advantage of buying an Annuity now is that your income will start immediately. This is clearly important if you are finishing work and need to replace the income you will lose, it also helps to reduce the cost of delay, more of which later....