- Retirement Account
Retirement Account overview
Like other personal pension plans, the Retirement Account is a way of saving for your future whilst receiving favourable tax treatment. However, unlike some others, this plan helps you to save for retirement during your Retirement Planning and gives you the option to phase your pension over a period of time or move wholly into Retirement Income (income drawdown) all in one account.
Features & benefits
- Start Retirement Planning from £200 a month, or make a £10,000 single payment (after tax relief has been added)
- Transparency of charging – service, investment and advice charges are shown separately
- Access to an extensive range of investments
- Bring together all your existing pension plans in one place
- Online access can give you more control over how you save and get an up-to-date valuation
- Pay regular or single payments to your Retirement Account. If you’re employed, your employer can also contribute
- Choose your retirement age – anytime between the ages of 55 and 99 (for Retirement Income). You can take your benefits by:
- moving (designating) part or all of the value of your Account from Retirement Planning to Retirement Income
- using the value of your Account to provide a guaranteed income for life by selecting one or more annuities, from us or another annuity provider
- taking a Pension Encashment, subject to restrictions which apply, (25% tax free and the remainder taxable, a minimum partial pension encashment amount of £5,000 applies)
- you must take all of your fund value as income or transfer to another pension arrangement by age 99 at the latest.
- You can normally take part of the value of your Account as a tax free cash sum when choosing an annuity or designating.
- You can still continue to invest whilst also taking an income.
Pensions are a long-term investment. The retirement benefits you receive from your pension plan will depend on a number of factors including the value of your plan when you decide to take your benefits which isn't guaranteed, and can go down as well as up. The value of your plan could fall below the amount(s) paid in.
The value of the tax benefits of your Retirement Account depend on your individual circumstances. Tax rules and circumstances may change in the future.