How should I take my retirement income?
Compare your options on retirement
Here's an
easy way to compare some of the features of the different retirement income
options we offer. When you're coming up to retirement, ask your financial
adviser for further advice to ensure you make the right decision
for you.
| Product | Tax-free cash lump sum | Fixed income | Variable income | Return of fund on death | Flexible for future | Possible investment growth/loss |
|---|---|---|---|---|---|---|
| Traditional Annuity |  1 |
|
 |
|
|
|
| Unitised Annuity | 1 |
|
2 |
|
|
2
|
| Phased Retirement 6 | 3 |
|
|
|
|
|
| Income Drawdown 7 | 5 |
|
|
4 |
|
|
1 Any
Tax-free cash lump sum will be paid from the pension plan from which
the annuity is bought.
2 The
annuity is linked to the value of investments, which may fall or
rise. If the value falls, the income provided will normally fall.
If the value rises, the income provided may also rise.
3 Tax-free
lump sums can be taken each time part of the plan is used to provide
income.
4 Any lump sum death benefit from amounts held in Retirement Income will be subject to tax, currently at 35%.
5 No tax free cash lump sum is available for transfers from existing income drawdown arrangements.
6 Available through Retirement Account or Phased Retirement.
7 Available through Retirement Account as Retirement Income.
