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What is a Lifetime Annuity?

Call us for a free chat on 0800 032 9301

Lines open: 8.30am to 6pm Monday to Friday

A Pension Annuity is a Lifetime Annuity you can buy using the money from your pension pot. It will pay you an income for the rest of your life. To be able to receive a Pension Annuity you must be at least 55 years of age.

What is a Lifetime Annuity?

A Lifetime Annuity is a type of retirement income product that you buy with your pension pot. It guarantees you with a regular retirement income for life. Lifetime annuity options and features vary and your choice will depend on your personal circumstances and your life expectancy.

How a Lifetime Annuity works

    You can normally choose to take up to 25% of your pension pot as a tax-free lump sum. You then use the rest to buy an annuity, which will provide you with a regular income for life.

    Things to think about when choosing a Lifetime Annuity

    Once you purchase a Lifetime Annuity you can’t change your mind, so it’s important you get help and advice before committing to one.

    If you have a very limited life expectancy, an annuity might not be the right option for you; there are other retirement products out there that may be more suitable.

    Think carefully about whether you need to provide an income for your partner or another dependant after you die as you need to specify this when choosing your Lifetime Annuity.

Have a commitment free chat with a Pension Specialist

Call us on 0800 032 9301

TextDirect: First dial 18001

Lines open: 9am to 6pm Monday to Friday. We may record and/or monitor calls for training and audit purposes.

Start your conversation with a pension specialist today by telling us about:

  • Your current pension pots
  • Any contributions you're making
  • How much you've already saved