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Pension Annuity

Discover Reliable Retirement Income Solutions

It's important to read the information on this page before you get started. Here's why our pension annuity could suit you:

 

  • Enjoy a secure and steady retirement paycheck.

  • Customise your annuity to fit your unique goals.

  • Ensure lifelong income, no matter how long you live.

What is an annuity?

If you want help to pay for the basics in retirement, or are worried that your pension money won't last as long as you need it, then our annuity could be for you.

From age 55 (57 from 6 April 2028 unless you have a protected pension age) onwards you can convert some or all of your pension into an annuity that will give you guaranteed income for the rest of your life. You’ll get paid regularly, much like a salary, and it’s taxed as an income.

Up to 25% tax free

You can take up to 25% of your pension as tax-free cash before buying an annuity

Higher income

You may get an enhanced annuity if you have a medical condition that affects your life expectancy

Quick quote

A simple phone call is all it takes to find out how much we could pay you

How we calculate your annuity rate

How much income we’ll pay you – or your 'annuity rate' – depends on a number of factors like the size of your pension, which benefits you choose, your age, health and more.

For example, you could get a higher income from your annuity if you buy it when you're older, as we will be making fewer payments. But you still may get less in total than if we had started paying you sooner. 

If you’d like to learn more about how annuity rates are calculated, our article on annuity rates covers everything from how much you could get every year to how you can potentially increase your income.

Would you like an estimate of how much we could pay you? Our Annuity Calculator will give you an idea of how much guaranteed income you could get.

What you’ll get with our annuity

Guaranteed income for life

We'll pay you an income for as long as you live

A higher income if you're in poor health

You could get a higher income from an enhanced annuity if you have certain medical conditions or lifestyle factors when you buy

Support someone close to you

You can choose for your guaranteed income to go to a partner after you pass away, or to a child under 23 or someone who's dependent on you because of their disabilities

Up to 25% tax free

You can take up to 25% of your pension tax-free before you buy your annuity. Tax rules depend on your individual circumstances and may be subject to change in the future

No surprise fees or charges

We take into account all fees when working out your income – there are no hidden charges

Secure choice

Your payments will never go down and your income will never run out

Personalise your annuity

You can adapt your annuity to suit your personal needs:

 

  • We can pay you the same amount for the rest of your life or you can have the payments increase at a fixed rate every year or in line with the Retail Prices Index (RPI)

  • You can add a guarantee to ensure your annuity is paid for a minimum of five or ten years after your annuity starts, even if you pass away within the guarantee period

  • Up to 100% of your income can be paid to your partner after you die

We take all your requirements into account when calculating your annuity rate as the options you choose can affect your income. Our annuity calculator includes several options for you to find out how much we could pay you.

Apply in three simple steps

Discover how you can get a guaranteed income through an annuity. 

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Give us a call

You'll speak to one of our friendly annuity experts. They'll ask you simple questions like your age, height, whether you have any medical conditions and so on.

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Get a quote

Our annuity expert will use the information you provide to tell you exactly how much we'll pay you for the rest of your life. 

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We pay you for life

Spend it as you wish – it's yours to use as you see fit. And we’ll pay a lump sum or income to a partner or dependant after you pass away if you set your annuity up to do so.

Before you call us

You must be between 55 (57 from 6 April 2028 unless you have a protected pension age) and 90-years-old and a UK mainland resident to buy an annuity from Aviva. And there are some important things you need to be aware:

  • If your pension is with another provider, you need at least £10,000 in your pension after any tax-free cash is taken out and any adviser fees have been paid. However, there's no minimum if you have a pension with Aviva

  • Once your annuity is set up, you can't make any changes to it or get back the pension lump sum you bought it with

  • Because our standard annuity only pays an income while you're alive, you may get back less from your annuity than you pay for it

  • You're likely to pay income tax on the money you get from an annuity, so you should factor this into your calculations of what you'll receive. The amount of tax you'll pay depends on your individual circumstances

  • There are different annuity providers to choose from and the rates they offer can vary. Shop around to make sure you get the best deal for your situation and speak to a financial adviser before you apply. Read more about shopping around.

How could our annuity help you?

You can customise our annuity to suit your personal needs. Here's a couple of examples.

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David wants help for his family too

As the main breadwinner of the house, David's biggest fear is his family will struggle should anything happen to him. So he chooses to buy an annuity that pays 100% of its income to his partner should he pass away. He feels better knowing his guaranteed income will help his loved ones too.

Susan's higher income could allow her to pay for private healthcare

Susan has diabetes. She told us about her condition and we were able to offer her an annuity with an enhanced income. As well as dealing with her daily expenses, she can now potentially afford private check-ups at her local hospital to help with her diabetes.

If you’ve got an annuity with us, you can find out useful information, or you can get more details about your policy.

Extra support

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Other ways to use your money

If you’re not sure if income drawdown is right for you, take a look at other options for taking money from your pension once you’re retired. You can see more and compare your options here.

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Know exactly how much money you'll get with our annuity that gives you a guaranteed income for the rest of your life.

Pension Annuity

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Mix and match your retirement options

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Leave your money where it is for now

Pension guidance and financial advice

If you need help deciding whether an annuity is right for you, our pension guidance might help get you on the right path. Or you could consider speaking to a financial adviser – since their advice is personalised, there's usually a charge. We can review any pension for you and we can recommend annuities from other providers, but for any other product or service, we can only recommend those offered by us.

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