Joint Life Annuity


Last updated: 14/01/2017


A joint life annuity continues to pay an income to your spouse/civil partner/dependant after your death.


Unlike with a joint life annuity, a single life annuity will only pay out during your lifetime (unless the option of a guarantee payment period is chosen).

You can usually choose between a joint life annuity that pays your spouse/civil partner/dependant the same as you were receiving, or two thirds or a half of what you were receiving.

You can also choose a joint-life annuity that has a level or escalating income.

Joint-life annuities are more expensive than single life annuities because the annuity provider will expect to continue paying the income for longer.

This means they will offer you less income than they would for an annuity on your life only.



Examples Of Income Difference Between A Single And Joint Life Annuity

SINGLE LIFE ANNUITY EXAMPLES
MALE/FEMALE AGED ANNUAL ANNUITY INCOME
55
£3,984.00
60
£4,584.00
65
£5,376.00
70
£6,132.00
JOINT LIFE ANNUITY EXAMPLES - 50% SPOUSE'S PENSION
MALE AGED / FEMALE AGED ANNUAL ANNUITY INCOME
M 55 / F 50
£3,744.00
M 60 / F 55
£4,188.00
M 65 / F 60
£4,716.00
M 70 / F 65
£5,304.00

The above figures are for illustrative purposes only. They are based on standard annuity rates for a conventional Lifetime Annuity with level income, no guaranteed period and the income paid in arrears without proportion bought with a pension pot of £100,000. A Wokingham RG40 postcode was used for quotation purposes. The income figures shown are gross. Annuity rates checked: 14/01/2017. Source: Money Advice Service Annuity Comparison Tables

 

Note: If you are not married, check with your annuity provider that your partner will be eligible to receive the income from a joint life annuity.