When taking out an annuity there are a few additional options or features which you may wish to consider, these features may affect the annuity rate available to you. Our retirement specialists can help you to understand what these options mean for you and your MPE financial adviser will tell you whether or not they are right for you.
In addition to the options below, you may also wish to consider adding death benefits to your annuity.
Payment Frequency
Although annuity providers provide quotes on an annual income basis you have the ability to choose between the following payment frequencies:
- Monthly
- Quarterly
- Half-Yearly
- Annually
Regardless of your chosen payment frequency, you can also choose whether to receive those payments in arrears or in advance.
Escalating Income
When comparing annuity quotes between providers you may come across the term ‘level income’, this means that the income you receive will stay the same through the duration of the plan.
You may wish to take your annuity on an ‘escalating income’ basis; this is when the income you receive increases annually either by a fixed chosen amount or by measures such as inflation or the retail price index (RPI).
