Fixed Term Annuity v Gilt Ladder

Notfarfromtheborder

ali_bear said:

Are you talking about buying the gilt ladder within a pension wrapper? 

Think so, I'd be using crystallized funds having taken tfls

RogerPensionGuy

FIREDreamer said:

SVaz said:

You can’t specify different amounts either, e.g. I wanted £11k x 2 years then £9k x 2 years followed by £6k for the final year as that’s when my SP kicks in.  

You can get those payments by buying three annuities …

A £6k annuity for 5 years
plus
A £3k annuity for 4 years
plus
A £2k annuity for 2 years

I've put the total payout all together and it makes a 46K payout over that total period. 

Am I correct that in the example above the charges or commission would look pretty high. 

The annuity of 2K PA for just 2 years just feels like % charges will be high. 

FIREDreamer

RogerPensionGuy said:

FIREDreamer said:

SVaz said:

You can’t specify different amounts either, e.g. I wanted £11k x 2 years then £9k x 2 years followed by £6k for the final year as that’s when my SP kicks in.  

You can get those payments by buying three annuities …

A £6k annuity for 5 years
plus
A £3k annuity for 4 years
plus
A £2k annuity for 2 years

I've put the total payout all together and it makes a 46K payout over that total period. 

Am I correct that in the example above the charges or commission would look pretty high. 

The annuity of 2K PA for just 2 years just feels like % charges will be high. 

If all three are with the same provider then likely that only one policy fee would be charged over all three policies under one client reference number..

Maybe scratch the 2 year annuity and stick £4,000 into a cash ISA instead?