If you are nearing retirement age, you may be wondering the best course of action to make the most of your annuities and pensions. You may think that all private pensions are the same but in fact a canny bit of research can literally pay dividends as some annuity companies offer far better rates of return which means a higher income for you.
One way you can pick up on those companies which are offering enhanced annuity rates are through the online reviews sites, some of which compares annuity rates between companies. Based on a lump sum of one hundred or two hundred thousand, a small difference in the percentage can mean a huge difference to your monthly income.
Some companies might offer just a monthly income whereas others may offer both a lump sum and a reduced monthly income. You have to weigh up which will bring you the most return based on your life expectancy.
If you have a generally high life expectancy in your family, a monthly sum may end up serving you better in the long run.
It really is a case of looking at all the annuity providers and making your calculations on what each one has to offer to make the final decision but take your time as this is one decision which will affect you for the rest of your life.