Annuity Calculator
Annuity calculations are complicated, and ultimately different annuity providers will offer different rates based on their own algorithms and calculations.
The annuity rate you get will depend on a number of factors, these include:
- Age. As younger people have a higher life expectancy any pension is likely to be paid out for a longer period. This means the earlier you retire the lower the pension you will receive.
- Gender. Women generally live longer than men, so for any given pension amount they will receive a lower annuity income.
- Health and lifestyle. Some providers offer enhanced annuities on the basis that medical conditions you may have and the amount you smoke for example reduces your life expectancy. If applicable to you these enhanced annuities, sometimes called Impaired Life Annuities, can significantly increase your income in retirement.
- Investment return. Put simply providers take the lump sum from the annuity purchase and invest it to provide a return capable paying your pension. If they expect higher investment returns then they can afford to pay you a higher pension.
Use Premier Retirement's Annuity Calculator to get up-to-date rates and a live calculation.
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