Retirement annuity advice case study

Making important choices

Our advice enabled a client to boost their guaranteed retirement income by more than 30%.

We advised a client on the best way to take their pension annuity income from a variety of pension plans. They achieved a better income than was offered by their current providers. We helped them to understand the key decisions and options open to them, while securing their income for life.

“Retirement is most agreeable – it’s so nice to be doing things that I find rewarding, and I find that at the moment I have no regrets and that Monday morning is met with a smile rather than a sigh!”

Steve McClure – Financial Planning client

Background

The client was approaching retirement age and had been contacted by 2 existing pension providers offering retirement annuities. The paperwork was confusing and there were important decisions to be made on the options open to them. The client realised that once these decisions were taken, they could not be altered.

Problems/Challenges

Confusing options

The client was initially confused by the different types of pensions, as well as the sheer weight of the paperwork provided to them.

Help making choices

They wanted to assess the different products and options open to them in a straightforward way, so that they could choose the income that was right for them. They needed advice on whether to take a tax-free lump sum.

Medical conditions

The client also had a pre-existing medical condition, which we needed to take into consideration.

Our approach

Information gathering

We gathered all the technical information from the client’s existing pension providers. We also obtained as much detail as possible on their medical situation.

Discussed the options

We discussed all the different options open to the client for taking an income from a pension product. They were then able to select the ones relevant to their situation.

We were able to present this in a clear format so that they could easily decide which options were best for their needs.

Sourced the best income

We researched the best income available to them for their circumstances, given their age, medical history and options selected.

Since the client’s medical history indicated a reduced life expectancy, we were able to obtain enhanced annuity rates; this meant an increased income for them for life.

Completed the paperwork

We made sure that the paperwork was correctly completed and managed the administration stage of the project.

Outcomes and Impact

Income boosted by 30%

The client was able to increase their pension income by more than 30% each month for the rest of their life. We achieved this by researching the best income for their needs, and taking into account their medical condition.

The cost of our advice was more than covered after a few months of receipt of this extra income.

Less hassle

We took away the hassle of the process by managing the administration between the various pension providers.