What is an Annuity?
An annuity provides a regular income for the rest of your life, no matter how long you live. You can buy an annuity with the money from your pension fund. The annuity payments are taxable as income.
For many people, an annuity is the most practical and suitable way to get a pension income during their retirement.
The more money you have in your pension fund, the higher your pension income is likely to be.
It is important that you talk to your financial broker about the choices you have and the important decisions you need to make. We recommend that you shop around for the best rate in the market.
Aviva Annuities at a glance
We’re committed to offering competitive rates.
Enhanced Annuity Option
We’ve simplified the application process, making it easier for you to find out if you’re eligible for a higher income in retirement.
One Year Guarantee Period as Standard
If you die within a year of buying your annuity, we’ll continue to make payments to your estate for the rest of the first year.
Should you die within 90 days of your annuity being set up, your fund will be paid back to your estate.
Principle features and benefits of the Aviva Annuity
|Minimum age at entry||51 next birthday|
|Maximum age at entry||81 next birthday|
|Maximum term||No maximum term. The income is payable for the remainder of your life. You can also choose to have the income continue after your death to your spouse or civil partner for a set Guaranteed Payment Period|
|Limits on purchase amount||Minimum: €10,000 |
|Basis||Single or joint life annuities|
|Escalation option||0% - 3%|
|Guaranteed Payment Period||2, 3, 4, 5 or 10 years (with default one year guaranteed payment period as standard if one of the other options is not selected)|
|Overlap||Available on joint life annuities with 5 year Guaranteed Payment Periods|
|Payment frequency||Monthly or yearly|
*If your purchase amount is in excess of €500,000, please talk to your Financial Broker.
Are Aviva Annuities right for you
Is the Aviva Annuity right for you
An annuity might suit you if:
- You are aged 50 or over (but not older than 80).
- You require a guaranteed pension income for the rest of your life after you retire.
- You wish to provide a guaranteed level of pension income for your spouse or civil partner in the event of your death.
- You do not wish to, or are unable (due to Revenue reasons), to invest the balance of your pension fund in an Approved Retirement Fund after you have taken your tax-free cash lump sum.
- You want certainty about how much income you will receive each year after you have retired
An Annuity might not suit you if:
- You are aged under 50 or over 80
- You do not require a guaranteed pension income for the rest of your life after you retire.
- You have no spouse or civil partner who you wish to provide a pension income for.
- You wish to, and are able to, invest the balance of your pension fund in an Approved Retirement Fund after you have taken your tax-free cash lump sum.
- You are happy for your income to move up and down each year after you have retired.
Frequently Asked Questions
What options are available with the Aviva Annuity?
What if I’m single?
What if I want to provide a pension income for my spouse or civil partner who is financially dependent on me?
What if I just want a fixed pension income?
How can I reduce the impact of inflation on my pension income?
What if I want my dependants to benefit from the money I’ve invested into my pension fund if I die in the early years of the annuity?
What is Value Protection?
What are guaranteed payment periods?
What is ‘overlap’?
How will these options affect my pension income?
How often can I receive my pension income?
How do you pay me my pension income?
What happens to my pension income when I die?
How is my pension income taxed?
Can I cash in my annuity?
Want expert advice on pensions and retirement? Contact your Financial Broker today.
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Important information to consider.
Warning: Past performance is not a reliable guide to future performance.
Warning: The value of your investment may go down as well as up.
Warning: If you invest in this product you may lose some or all of the money you invest.
Warning: This product may be affected by changes in currency exchange rates.
Aviva Life & Pensions Ireland Designated Activity Company, a private company limited by shares. Registered in Ireland No. 165970. Registered office at Building 12, Cherrywood Business Park, Loughlinstown, Co. Dublin, D18 W2P5. Aviva Life & Pensions Ireland Designated Activity Company, trading as Aviva Life & Pensions Ireland and Friends First, is regulated by the Central Bank of Ireland. Tel (01) 898 7950.