An investment-linked annuity is a lifetime income stream where the retiree’s income varies to reflect changes in the value of a selected investment option.
From 1 July 2019 changes to the means test treatment of lifetime annuities for the purposes of determining Age Pension entitlements will come into force.
Annuities are relatively simple and secure financial products that provide a guaranteed pay cheque in retirement in return for investing a lump sum for the rest of your life, or for a specified period.
In this article, Sean Corbett, an annuities expert, answers the important question of when is the right time to purchase a deferred lifetime annuity.
In this article we will consider how a person can best ensure that they maximise their income in retirement from their savings while at the same time ensuring that their savings last for as long as they do.