For most people, buying an annuity at retirement seems a pretty simple affair.
Without giving it a second thought, they automatically buy their annuity from their existing pension provider.
As a consequence, over 60% of people buying an annuity with their pension funds end up with a lot less income than they could have received if they had just taken the time to shop around for the best deal.
In many cases, this lost income can amount to thousands of pounds over the remainder of their lifetime.
Why would anybody save up for all those years and then, right at the end, not even bother to try and get the best possible retirement income available?
If you want to make the most of your pension funds at retirement, you have to put in a bit more effort. You have to go beyond just ticking a couple of boxes!
Before you can shop around, the first step is:
Choosing Your Annuity Options
The next step is:
Shopping Around For An Annuity
Once you have decided which annuity provider offers the best deal for you, the final step is:
Applying For An Annuity
Now, don’t be surprised if all of this sounds a little daunting because, to be fair, it probably is if you are not used to this kind of thing.
It is probably the main reason why those 60% of people don’t bother to shop around for their retirement annuity.
If it’s putting you off too, you don’t have to miss out on a higher retirement income.
All you need to do is talk to an independent pension adviser and they can guide your through the process of buying an annuity.
See the following for more information: Annuity Advice & Assistance
This article and the associated pages assume that you have already considered all the retirement income alternatives and have decided that you wish to buy a conventional, non-invested Lifetime Annuity with your pension funds. If you want to know more about the various Annuity Types and Annuity Alternatives click the various links on this website.