Cash-Out Retirement Plan

What is a Cash-Out Retirement Plan?

It's a fixed term product that pays your clients a set regular income over a chosen period of time from their pension pot, and doesn't include a maturity value. 

  • Your client's pension arrangement is transferred to us. We pay them their tax-free cash and commit to pay a regular income over a set term.
  • Your client can choose a term between 3 and 40 years (limited to a maximum term of 25 years for non-advised transactions).
  • Clients can choose payment frequencies to be monthly, quarterly, half yearly or yearly; in advance or in arrears. 

Who is our Cash-Out Retirement Plan for?

  • Clients aged 55 and over.
  • Clients who want to know exactly how much income they will receive and when.
  • Those who want to take a pension pot as cash over several years to maximise tax efficiency.
  • Those who have a minimum investment of £10,000, after any tax-free cash and an adviser charge, if applicable.

How can it help?

  • To provide an income until another source, such as a final salary pension, starts. 
  • To supplement their income if your client wants to reduce their working hours.
  • To increase their income, for example, to help fund travel and enjoy life.
  • Your client can defer taking the State Pension, so the payments received when they do take it is higher.
  • A client who wants the option to include a death benefit so any income will continue to be paid in the event of their death.
  • To maximise tax efficiency of full pension fund withdrawals.

Once the term of your client's plan comes to an end your client will receive no more income from us, there is no maturity value and there will be no other payments made. The plan does not pay income for life.

Our other income products

Fixed Term Retirement Plan