People have been urged to think carefully about how to get the best possible retirement income from their pension savings.
Six in ten non-retired adults, equivalent to 21 million people in the UK, are concerned about the effect inflation will have on their future retirement income, according to MGM Advantage.
Yet despite acknowledging the erosive effect inflation could have on their retirement income, a quarter (27%) of those surveyed said they had not even started to consider how they could get the most out of their pension savings.
"Many people still have unrealistic expectations of the retirement lifestyle they will be able to afford," said Aston Goodey, sales and marketing director at the retirement income specialist.
"The reality could be very different, particularly if people take the income offered by their existing pension provider rather than shopping around for the best deal using the open market option."
In order to get the best value for money from their pension pot, people approaching retirement should always take the time to evaluate the various annuity options open to them across the whole of the annuity market.
Impaired and enhanced annuities are also available which could pay out a greater amount of retirement income because the person purchasing an annuity is in ill health or suffers from certain medical conditions. Improved rates are also usually available to people who smoke.
Why not start your annuity research today? Our annuity best buy tables illustrate how the offerings from annuity providers such as MGM Advantage and Saga compare.
We've also recently teamed up with Premier Retirement Services to give you access to their online annuity planner service.
Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.
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