Take our Annuity Challenge
On average customers that purchased an annuity through Nationwide saw an increase of 19%* compared to their pension provider's annuity offer. We're here to help you find the right annuity to suit you from our panel of annuity providers. So if you're thinking about retiring in the next six months, why not take our Annuity Challenge?
Remember, you don't have to accept the annuity offered by your pension provider(s). We'll shop around for you, to get you the highest income possible from our annuity panel which includes some of the UK's leading annuity providers.
Find out more about our Annuity Challenge including eligibility and terms and conditions.
Book an appointment with a Financial Planning Manager by 28 March 2014 and see if we can provide you with a quotation which offers a greater income than your current provider(s).
From the age of 55, anyone that’s saved into pension pots throughout their working lives can decide when and how to take an income during retirement.
The majority of people retiring take their income via an annuity, but an annuity is only one of your income options at retirement.
Most pension schemes allow you to take up to 25% of your pension pot(s) as a tax-free lump sum otherwise known as a Pension Commencement Lump Sum (PCLS). You can use it however you like - maybe pay off the mortgage, clear some debts, or do something you’ve always wanted. Alternatively, you don’t have to take this lump sum; you could choose to take a proportion of this - it’s up to you.
You will then use the remaining fund to provide an income for your lifetime.
Nationwide offers conventional and enhanced lifetime annuities – the most common types of annuity. Very simply, a lifetime annuity is a way of transforming your pension pot into a guaranteed income for the rest of your life. You can choose various options to ensure your lifetime annuity suits your particular needs.
How much income could I get?
How much income you get depends on a number of factors such as the size of your pension pot, the annuity rates available, and also a number of factors that determine your life expectancy e.g.:
- Geographical location
The income you receive from the annuity is taxable in the same way as earned income.
Depending on your lifestyle or whether you have a health risk, you may be entitled to what’s called an ‘enhanced annuity’. This pays an income for life in the same way as a lifetime annuity. However, it pays a higher income because annuity providers assume you are likely to have a shorter life expectancy. Nearly 60%* of annuities taken through the Nationwide Annuity Service are enhanced.
It’s important to make the most of your hard earned pension pot(s) and with annuity rates varying between providers, it is essential that you shop around to get the highest income possible. The Nationwide Annuity Service is designed to help you do this.