Advice On How You Might Boost Your Pension Income

By Author: Isabell Isai
Total Articles: 74
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An issue you should peruse is what you may do about your income when you retire, including how to get the highest Best annuity rates.

Many people ignore the matter of retirement finances because they feel they don't have the relevant facts about what is the best option.

Standing by idly however is just about the worse thing one can do as it will mean you are likely to end up with a much lower income. The initial objective is to find out what is being offered from your current pension company. Once this is complete you can they weigh up which option is best for you.

There are a few options available about who to speak to with regard to your retirement finances. In broad terms you have the option to consult with the following.... IFA (Independent Financial Advisors), annuity companies and financial specialists. Which one of these you choose will depend upon... the amount you have saved and whether you need a professional opinion. In general, those with a smaller fund will not need to pay for the services of an IFA which can charge 250 pounds per hour.

If ...
... you are still not certain about who to speak to it is worth noting that a company who brokers annuities can offer advice that doesn't cost a bean. This is possible as the broker takes a portion of money from the annuity provider when you buy an annuity. So when you hire the services of an IFA you may also find you are to all intense and purposes paying twice because of the commission. Another point to also keep in mind is that some but not all IFA's fail to compare the open market properly.

You now could be wondering to yourself... why do I need to use this 'Open Market' to get the highest pension? Well, the response to this point is blindingly apparent... if you fail to use the OMO option, you could lose a massive amount of income. The aggregate amount of lost money could even stretch as far as 42% or even higher. Hardly surprising then that many people regret not comparing annuity providers.

The primary reason why pensioners miss a much bigger income is that they were not offered what is known as an enhanced annuity. Annuity enhancement is presented to those who have a medical issue which effects just how long they will live for. A normal example of this would be that of regular cigarette or cigar smoking. There are several medical conditions which allow for enhancements including.. Heart attack, diabetes and Alzheimers.

You only have one chance to ensure you get the best retirement annuity, as once done and dusted is unalterable. This indicates that it is really important that you compare providers and do not except the first offer.

One last point, never forget that you are not compelled to pay for an IFA if you feel you don't need one - use a broker are often are free of charge.