The Retirement Account

The certainty of an annuity and the flexibility of drawdown in one simple tax-advantaged wrapper

Benefits at a glance

Total Flexibility of income

  • Guaranteed income for life, with the Guaranteed Annuity component 
  • Unrestricted access to Pension Drawdown fund for treats and unforeseen expenses although this will reduce the fund
  • And you can stop, start and vary the income from the Retirement Account whenever you want 

Control the level of your retirement income and the tax you pay

  • If the Guaranteed Annuity income isn’t needed for a period, it can be diverted into the Cash Account or into Pension Drawdown
  • No tax is payable as the money stays within the tax-advantaged wrapper

Lock in guaranteed income later in life

  • The Retirement Account is structured so that more Guaranteed Annuity can be bought using Pension Drawdown funds at any time 
  • The older the client, the more potential for higher income from each new chunk of money
  • Income may be enhanced still further if the client’s health has deteriorated

Comprehensive Death Benefits to provide for loved ones

  • The Guaranteed Annuity features the choice of a Money Back Guarantee of up to 100%, a Guaranteed Income period of up to 30 years, and a Dependant’s Income of up to 100%
  • The Income Guarantee, if selected, can be commuted to a lump sum if the beneficiary wishes, which will be calculated at the time
  • Drawdown funds are returned to beneficiaries on death, as you would expect

Minimise tax liability for beneficiaries

  • The Retirement Account is held in a tax-advantaged wrapper, so beneficiaries have complete freedom to take death benefits however they like, to minimise tax liability
  • Death benefits from both Annuity and Drawdown can be taken as a lump sum, as a regular income, or any combination of instalments
  • Beneficiaries can even start their own Retirement Account, still within the tax wrapper, and take full advantage of its flexibility

A simple investment choice for Pension Drawdown

  • Our independently selected range of market leading funds caters for the needs of the vast majority of retirees
  • Fund research and selection are provided by Square Mile Investment Consulting, a respected independent research firm based in the City of London
  • The fund range is grouped into Cautious, Balanced and Adventurous categories for convenient selection, and features a choice of Active, Passive and Protected funds
  • Each fund has been handpicked for its investment performance, value for money, and potential for future success
  • Funds are closely monitored so your clients can be confident that we will always offer a range of thoroughly researched and potentially strong performing funds

Making Advisers’ lives easier

  • The Retirement Account is available exclusively through financial advisers
  • One application, one illustration, one annual statement, one provider
  • Annuity rates are highly competitive, even compared with conventional annuities that don’t have all the other benefits of The Retirement Account
  • Advisers can choose how much to charge clients, including initial fees, ongoing and ad-hoc servicing fees to reflect
    the service they are providing their clients with
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