Page 50 - Phonebox Magazine October 2009

Finance Matters
brought to you by Advison Independent Financial Advisers
Maximising your income in retirement
Firstly, we are pleased to announce that we have moved offices and are now located in Woburn Sands. Full details are provided in the advert below.
Unless you are lucky enough to be in a solid Final Salary Pension Scheme, the chances are you will use the money built up in your pension to purchase an annuity when you retire. The annuity will provide an income to you for the rest of your life and, as such, maximising the amount you get from this is essential if you are to make the most of your pension policy.
When you come to purchase an annuity, you will normally be given the opportunity to approach other annuity providers other than your existing pension provider, in order to achieve the best possible rate. This is known as an Open Market Option (OMO).
Despite this option being available research carried out in 2008 by the Association of British Insurers (ABI)* showed that nearly two thirds of individuals buying a pension annuity did so on an internal basis. In other words they took the annuity offered to them by the existing pension provider rather than looking around the market to see who was offering the best rate.
Bearing in mind this is the income that people will have to live on for the rest of their lives, it is a very worrying statistic to think that so many are simply taking the easiest route rather than the most profitable.
However, perhaps it is of even greater concern that those that do

opportunity of having an ‘impaired life’ annuity. These are available to smokers and others that have health problems that effect their life expectancy and up to 40%** of people could qualify for an enhanced annuity, providing them with typically 33%*** more income.
If you are within 6 months of retirement (or know someone who is), why not contact Advison and see how we may be able to help. Remember – we can review the whole of the market to ensure you are getting the highest level of income in your retirement.
Advison has a wealth of experience in helping clients with different investment strategies and tax planning, ensuring that a well constructed portfolio provides the diversity required. We are also able to review your investments so that they remain in line with your personal circumstances and objectives.
Unlike many IFAs, Advison not only provides the initial advice you require but also produces regular personalised reviews of your Investments, Pensions and Protection Policies, enabling us to ensure the assets you hold are still relevant to your circumstances.
* ABI research paper No.8, 2008
** Watson Wyatt, January 2008
*** The Exchange and Just Retirement 2008
take the internal annuity route are also missing out on the
Advison is a small, friendly and reliable firm specialising in Investments, Retirement Planning and IHT Mitigation.
We offer a return to the traditional values only a smaller company can offer, a service we find
is appreciated by the more discerning client. We are happy to see you in the comfort of your own home or at our offices in Woburn Sands which also have free parking.
All staff at Advison are either AFPC or FPC qualified.
------------------This is your opportunity to speak with the experts------------------
• Previously voted Planned Savings Magazine National Estate Planner of the Year
• Regularly quoted in the national press for over 10 years
• Have appeared as financial planning experts on BBC, Sky, CNBC, Bloomberg, Simply Money and the Money Channel • Choice Magazine’s Pensions and Trusts expert
Call Kevin or Andrew for a preliminary chat or to arrange an appointment.
T:T0:10910908822885690 EMaaili:l:ifaif@a@adavdisvoins.ocno.ucko.uk
advison ltd is an appointed representative of IN Partnership the trading name of The On-Line Partnership Limited which is authorised and regulated by the Financial Services Authority. Registered (England) No. 5009271
50 Phonebox Magazine
Shelton House, 4 High Street, Woburn Sands, Bucks. MK17 9SD
Shelton House, 4 High Street, Woburn Sands, Bucks. MK17 9SD