annuity

niro_111

hi
i am thinking of taking my pension early, i have spoke to a ifa about a annuity, and he is looking in to how much i could get, i asked him how much he is charging, and he said its not costing me anything as it come from the company he takes the annuity out with, is this the best way to go about this,
cheers

McKneff

IFAs have access to many more pension providers than us mere mortals.

Are you over 55

niro_111

yes 56, i only ask because i did,nt know if it was the best way to pay for them

McKneff

I got my pension last year with Just Retirement, they were the best by far but they dont deal with individuals. Only with IFAs,
and they paid his commission as far as I remember.

dunstonh

Annuities are one of the few methods where commission makes common sense. Mainly as if you dont use an IFA the provider keeps the commission for themselves. On large cases, working on agree fee basis but collecting the fee via the commission system is the best way. This will improve the annuity rate further.

okydoky

When you say large sums, what do you mean?

Are we talking £100K+, or more than £250K?

Thanks

dunstonh

Its difficult to put a figure on it due to different business models and costs in different locations (city firms tend to be more expensive than rural). Something around £80k plus is the sort of ball park.