Pension Annuity - Where you live could make a difference!

Your occupation and the area in which you live could make a difference to the amount of pension payment you receive. Some pension annuity providers will take into account your occupation and geographical location when assessing your pension annuity.

This is because if you happen to live in say Wales or Nottinghamshire and have worked as a coal miner or in heavy industry, they would consider that this may effect your life expectancy as compared to say a Stockbroker living in Surrey.

This is not in anyway a slight against where you live or what you do, but an actuarial calculation based on statistics, which indicate that life expectancy is effected by geographical location and occupation.

But whatever the reason it could be beneficial if it increases your initial pension payments.

In the same way if you smoke, or have smoked cigarettes in the near past, you could also benefit from an increase in initial pension payments.

To find out if you qualify you would have to complete a lifestyle questionnaire and this may also be applicable to a spouse if he or she is to be included in your pension annuity choice.

Join me in my next post when I will be looking at a tax efficient pension option.