P261 CEEFAX 2 261 Tuj 04 Mar 2p:22/30 SCS  1/8 /j@$Sj $kj@'+  /"C££"£££"CCC J]]^]]^[^[^[ An annuity provides a regular lifetime inco]e from@a lump@sum@invest]ent. Thjse are bought from pension funds. Normally pension plans allow you to buy a better annuity from anotPer life firm. This is the Open Market Option. 2/Purchased Life Annuity (PLA) PLAs are bought with your own@capital and provide a very high income. CPAs: Male 262 CPAs: Female 263 Sport 300 Front Page 100 CPA Zen YourMoney City News Main Kenu
P261 CEEFAX 2 261 Tue 04 Mar 2p:10/00  3k  1/8    ££ H ]  [ [ [ incoUe from a lump sum investEent. There are two types: 1/Compulsory Purchase Annuity (CPA) These are bought from pension funds. Normally pension plans allow you to buy a better annuity from anotPer life firm. This is the Open Market Option. 2/Purchased Life Annuity (PLA) PLAs are bought with your own capital and provide a very high income. CPAs: Male 262 CPAs: Female 263 Sport 3p0 Front Page 1p0 CPA Hen YourMoney ity News Main Menu
P261 CEEFAX 2 261 Tue p Mar p:05/10   2/8     Annuity rates are calculated with re'ard tO life expectancy, returns on fixed interest investments and life company expenses. Rates increase with age, and rise or fall depending on the return on the current yields from medium dated gilts. Annuities are for life, so t@ere are several options that provide protection from early death, such as guarantee periods and spouse's benefits. Annuities can increase each year as a hedge against inflation. Selection of annuity rates 262-267 Sport 3pp WeatPer 400 Front Page 100 CPA men YourMoney City News Main Menu
P261 C FAX 2 2n1 Tue p) Mar !p:14/04   2/8   C M[ Annuity rates are calculated with regard to life expectancy, returns on fixed interest investments and life company expenses. Rates increase with age, and rise or fall depending on the return on the current yields from medium dated gilts. Annuities are for life, so there are several options that provide protection from early death, such as guarantee periods and spouse's benefits. Annuities can increase each year as a hedge against inflation. Sport 30p Weather 400 Front Page 100 CPA men YourMoney City News Main Menu
P261 CEEFAX 2 261 Tue 04 Mar 2p:05/02   3/8    M]] Single or Joint Life Annuities A single life annuity ceases on the eeath of the annuitant, but you can choose to have the annuity payments continue to your spouse if you die before him or her. The spouse's annuity can be cut on the intents death, usually by 33.3% or 50%. Guarantee Periods Annuities can be guaranteed for a specified period usually 5 or 1p years. Payments will be made for tPat period, even if the annuitant dies. CPA Rates: Joint Life 264 Sport 300 Weather 400 Front Page 100 CPA men YourMoney City News Main Menu
P261 CEEFAX 2 261 Tue 04 Mar 2p:00/20   3/8    J Single or Joint Life Annuities A single life annuity ceases on the death of the annuitant, but you can choose to have the annuity payments comtinue to@your spouse if you die before him or her. The spouse's annuity can be cut on the intents death, usually by 33.3% or 50%. Guarantee Periods Annuities can be guaranteed for a specified period usually 5 or 10 years. Payments will be made for that period, even if tPe annuitant dies. Sport 300 Weather 400 Front Page 100 CPA Zen YourMoney ity News Kain Menu
P261 CEEFAX 2 261 Tue 04 Mar 2p:05/15   5/8    ][ Frequency of Payment Most annuities are quoted monthly. By convention CPAs are quoted in advance and PLAs in arrears. Advance: Payment is made at the beginning of the period. Arrears: At the end of the period. Payments can also be made annually, half yearly or quarterly. Annually in arrears will give the higPest payZent but quarterly@in arrears is the most common alternative to monthly payments. Sports News 300 Weather 400 TV/Radio 600 Front Page 100 CPA ]en YourMoney ity News Main Menu
P261 CEEFAX 2 261 Tue p4 Mar !p:02/02   5/8     Erequency of Payment Most annuities are quoted monthly. By conventi#n CPAs are qu#ted in advance and PLAs in arrears. Advance: Payment is made at the beginning of the period. Arrears: At the end of the period. Pay]ents@can also be Zade an.ually, half yearly or quarterly. Annually in arrears will give tPe highest payment but quarterly in arrears is the most common alternative to monthly payments. TV/Radio 600 Front Page 100 CPA men YourMoney City News Main Menu
P261 CEEFAX 2 2.1 Tue p4 Mar 2p:09/05 CS  6/8    J[ Taxation Compulsory Purchase Annuities are taxed as earned income and are usually paid net@of basic rate tax. Purchased Life Annuities. Each pay]ent includes a repayment as part of the original capital, known as tPe capital content. This is deducted from the gross annuity before applying your tax rate. Thus PLAs have a significant tax advantage because tax is paid only on a small amount of each payment. Annuity Rates pages 262 to 267 Sport 300 Weather 400 Front Page 100 CPA ]en YourMoney ity News Main Menu
P261 CEEFAX 2 261 Tue 04 Mar 2p:01/04  3+  6/8     Taxation Compulsory Purchase Annuities are taxed as earned income and are usually paid n—t of barhc rate tax. Purc@ased Life Annuities. ach payment includes a repayment as part of tPe original capital, known as the capital content. This is deducted from the gross annuity before applying your tax rate. Thus PLAs have a significant tax advantage because tax is paid only on a small amount of each payment. Sport 300 Weather 400 Front Page 1p0 CPA men YourMoney City News Main Menu
P261 CEEFAX 2 261 Tue 04 Mar 2p:07/18 CS  7/8     Impaired Life Annuities If you are in bad health, you may be able to increase your annuity by applying for an impaired life annuity. Two companies, Sun Life and tPe Pension Friendly Annuity Society, offer better rates for those with medical conditions sjch as Peart problems anh cancer. Stalwart@Assurance@offers higPer rates for smo+ers, those with diabetes, high blood pressure and high cPolesterol. CPA Annuity Rates: Male 262 CPA Annuity Rates: Female 263 CPA Joint Life Rates 26) BBC CEEFAX FRONT PAGE 1p0 CPA men YourMoney City News Main Menu
P261 CEEFAX 2 261 Tue p4 Mar 2p:09/15   7/8     Impaired Life Annuities f you are in bad health, you may be able to increase your annuity by applying for an impaired life annuity. Two companies, Sun Life and tPe Pension rienhly@Annjity Society, offer better rates for tPose with Zedical conditions such as heart problems and cancer. Stalwart Assurance offers higPer rates eor smo+ers, those with diabetes, high blood pressure and high cholesterol. CPA Annuity Rates: Male 262 CPA Annuity Rates: Female 263 CPA Joint Life Rates 264 Purchased Life Annuities 265 BBC CEEFAX FRONT PAGE 100 CPA men YourMoney ity News Main Menu
P261 C AX 2 2&1 Tue 0 Har 2p:02/10 3kj£3kj 3k  8/8 @@     The annuity tables on pages 262-5 show tPe top paying companies for a purc@ase price of@£1p,p00 and £100,00p. HigPer purcPase prices will give a slightly higher rate. Rates will also be affected by exact age and choice of —enefits. T@ere are companies w@ich offer good rates which are only available to specific groups. These are not quote—. Eor example, The Royal National Pension Eund for Nurses. CPA Annuity Rates: Male 262 CPA Annuity Rates: Female 263 CPA Joint Life Rates 264 BBC CEEFAX FR NT PAGE 1p0 PA Hen YourMoney ity News Iain Menu
P261 CEEFAX 2 261 Tue 04 Mar 20:06/10   8/8      The annuity tables on pages 262-5 show the top paying companies for a purc@ase price of £10,p00 and £100,00p. Higher purchase prices will give a slightly higher rate. Rates will also be affected by exact age and choice of —enefits. There are companies which offer good rates wPich are only available to specific groups. These are not quoted. For example, The Royal National Pension Eund for Nurses. CPA Annuity Rates: Male 262 CPA Ann—ity Rates: Female 263 CPA Joint Life Rates 264 Purchased Life Annuities 265 BBC CEEFAX FRONT PAGE 100 CPA men YourMoney City News Main Menu
P261 CE AX 0 2&1 Tue 0 HAr p:07/ 1   3C  1/8 @ $+j kj C @@@ u?@!@!@51s{5  ££     An annuity provides a regular lifetiEe incoEe from a lump s—m investment. There are two types: 1/Compulsory Purchase Annuity (CPA) T@ese are bought from pension funds. Normally pension plans allow you to ejy a better annuity from anOtPer life dirm. This is the Open Market Option. 2/Purc@ased Life Ann—ity (PLA) As are bought with your own capital and provAde a very high income. Sport 300 Front Page 1p0 CPA m—n YourMoney City News Main Menu
P261 CEEFAX 2 261 Tue 04 Mar 2p:00/02   4/8     Escalating Annuities (EA) Annuities can increase by a fixed percentage, normally 3% or 5% or in line with the retail prices index. On average an annuity increasing by 5% compounded a year will give a starting incoEe 30% lower tPan a level annuity. Normally t@e EA will overtake t@e level annuity after about 1p years. Although expensive in the short term, escalation does protect annuity payments from the effects of inflation. Weat@er 400 Front Page 100 CPA Hen YourMoney ity News Main Menu
P261 CEEFAX 2 261 Tue 04 Mar 2p:01/10   4/8     Escalating Annuities (EA) Annuities can increase by a fixed percentage, normally 3% or 5% or in line with the retail prices index. On average an annuity increasing by 5% compounded a year will give a starting income 30% lower t@an a level annuity. NorEally the EA will overtake the level annuity after about 1p years. Although expensive in the short term, escalation does protect annuity payments from the effects of inflation. Sports news 300 TV/Radio 600 Weat@er 400 Front Page 100 CPA men YourMoney City News Main Menu
P261 CEEFAX 2 261 Tue 04 Mar 2p:24/08   4/8 @ $Cj $+j + @ u?j5@!@51r{5    Escalating Annuities (EA) Annuities can increase by a fixed perceltaFE norEaLly 3 or 5! or hn On average an annuity increasing by 5% coEpoun@Ed a x—ap@gAHH gide a rtaptilg income 30% lower t@an a level annuity. NorEally t@e EA wiLl overtake t@e level annuity after about 10 years. ALt@oug@ expenrive in t@— s@ort term, escalatioN does protect ann—ity pAyHentc from t@e —ffects of inflation. Weat@er 4p0 Front Page 1p0 CPA men YourMoney City News Main Menu
P261 CEEFAX 2 261 Tue 04 Mar 20:10/01  3k   5/8 U '+  u?j5j5@51s{5 "£"£"£££" ££    IOst ann—ities ape qaote— Honthly By conventiOn CPAs are quoted in advance and PLAs in arrears. Advance: PayEent is made at the —eGinning of t@e period. Arrears: At t(e —nd of the period. Paym—nts can also be made annually, YALd zearly@or quarterly, hi£hest payment but quarterl8 in arrears is the most common alternative to Honthly payH—ntc. TV/ adio 600 Front Page 100 CPA H—n YourIoney ity News Iain Menu