Annuity rates -Defined contribution scheme
- Thread starter mtk
- Start date
Brendan Burgess
Founder
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- 52,087
Irish Life and New ireland are the main providers. You can get a quote from New Ireland here
https://www.pensionplanetinteractive.ie/ppi/public/loadPensionChoice.action
It's a bit of a peculiar field in that the rate is lower the higher the purchase price. I gather than the stats show that those with larger amounts live longer. So go to an execution only broker and ask for competitive quotes. You may find that if Irish Life gives you a better rate, then New Ireland will match it , or vice versa.
Brendan
https://www.pensionplanetinteractive.ie/ppi/public/loadPensionChoice.action
It's a bit of a peculiar field in that the rate is lower the higher the purchase price. I gather than the stats show that those with larger amounts live longer. So go to an execution only broker and ask for competitive quotes. You may find that if Irish Life gives you a better rate, then New Ireland will match it , or vice versa.
Brendan
Steven Barrett
Registered User
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- 5,125
There is no one place that you can find annuity rates, you have to shop around.
If you provide me with the following details, I'll have a look for you:
Date of Birth
Spouse's date of birth
What percentage of your pension do you want your spouse to have when you die?
Steven
www.bluewaterfp.ie
If you provide me with the following details, I'll have a look for you:
Date of Birth
Spouse's date of birth
What percentage of your pension do you want your spouse to have when you die?
Steven
www.bluewaterfp.ie
i put in a 1.5m fund (just to see....i dont have that in my pot 
)
they would only pay out 34K on the annuity (2.287%)
I worked the figures, if my pot earned 1% per annum and i withdrew 50K per annum from aged 66, the fund wouldnt run out until i was 101 !! so the annuity provider would 'earn' 576k on your money over that period
Cant see how people would buy annuities with that comparison.
**apreciating you wouldnt earn 1% consistently over the period, but I think thats a very conservative long term return (over 35/36 years)
)they would only pay out 34K on the annuity (2.287%)
I worked the figures, if my pot earned 1% per annum and i withdrew 50K per annum from aged 66, the fund wouldnt run out until i was 101 !! so the annuity provider would 'earn' 576k on your money over that period
Cant see how people would buy annuities with that comparison.
**apreciating you wouldnt earn 1% consistently over the period, but I think thats a very conservative long term return (over 35/36 years)
North Star
Registered User
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- 238
Hi Mtk and daheff, as you have found out annuity rates are very expensive at the moment. However as you get older the rates can increase materially, i.e the pension income for a single life annuity at age 80 is almost double that available at age 65. So we suggest clients look at annuity rates at different ages e.g 65,70,75 and 80 etc. The clients can then see if it makes more sense to initially invest in an Approved Retirement Fund and gradually move to an annuity as you get older. This phased retirement means that you can manage the investment risk when you are younger and probably better able/motivated to do so and can move to risk free income when you are older and less comfortable with running risk. Once you move to annuity then there is no moving back. If you send me on the details as suggested by Steven above we can run a quick comparative analysis for you both. We would also suggest that you do this with annuities both on a flat and inflating basis. All the best. Vincent