Retirement – Pensions – Enhanced Annuity Advice

Helping you make the most out of your retirement

Thinking about retiring, but worried about income in your retirement? Let Simpson Millar Financial Services help you. We may be able to maximise your income by using your lifestyle and medical information which may enhance the pension income you receive, leaving you to focus on the more enjoyable aspects of retirement.

What are Enhanced Annuities?

Enhanced annuities are a type of pension that give you a higher income due to a medical or lifestyle factors that are expected to shorten life expectancy. For instance, this may include simple things such as:

  • Smoking
  • Drinking
  • Medical History, or
  • Lifestyle

Are you eligible?

Health & Lifestyle: Why it matters – case example

John has a pension fund of £45,000 from which he wants as much income in his retirement as possible. He has no medical conditions, no medical history and takes no medication. So, on the face of it, he is very unlikely to qualify for an enhanced annuity. Or is he?

By asking a few simple questions we ascertained the following:

  • His height is 5’11 and weight 17.5 stone
  • He works as a post room operative
  • He consumers on average approximately 45 units of alcohol each week
  • He is a smoker and smokes on average 10 manufactured cigarettes per day

We submit the above information to the relevant enhanced annuity providers and discover he is entitled to an enhanced pension income of £2,275.68.

He has therefore gone from being someone who, on the face of it, didn’t qualify, to one who could boost his retirement income by 37.5% when compared with the lowest standard rate annuity available with smoker rates applied.

*This case example is based on a male aged 65 with a £45,000 pension fund (maximum tax free cash of 25% to be taken), 5 year guaranteed period, no escalation, no value protection. Comparing an enhanced pension income from a leading provider with the lowest standard annuity offered via Avelo Exchange on 24 September 2012.

Our commitment

Financial Planning

None of us knows what the future holds and that is why it’s essential to put plans in place which will cover every eventuality as you reach your later years.

We have a great deal of experience in providing you are your family with the support you need to enjoy your retirement to the full.

Take a free assessment today

Check out the infographic below for an easy to see guide on how an enhanced annuity may work for you. Find out how we can help you and your family by calling us today to book your free 30 minute consultation.

Pension Annuities Infographic

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Get in touch

Don’t delay, contact us today on 0345 357 9000 or email us or simply complete our online enquiry form and we will get in touch with you to discuss your financial advice needs.