Questions about annuities

Can I 'cash-in' my annuity?

No. Once in payment an annuity cannot be surrendered or encashed.

Can I change my annuity?

No. Once in payment the basis of the annuity cannot be altered in any way. For this reason it is vital that you select the features you require when purchasing an annuity.

Will I have to pay tax?

Any income taken from your pension would be taxable at your marginal rate. Any tax would normally be deducted by the pension provider at source.

Important Information

Taking any of your pension benefits early is likely to reduce your income at retirement. Therefore, pension release is only suitable for a very limited number of people and circumstances and should not be seen as an easy option for raising cash. This is because a pension is designed to provide you with benefits when you retire. The guidance and/or advice contained in this website is subject to UK regulatory regime and is therefore restricted to consumers based in the UK. The Financial Services Authority does not regulate some forms of tax advice, secured loans, unsecured loans, debt management and Wills. Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.