Intermediate

Joint Life Annuities

What is a Joint Life Annuity?

A joint life annuity is designed to continue paying income to your spouse or partner after your death. This type of annuity provides financial security for both you and your loved one throughout retirement.

Calculate Joint Income

Use our calculator to see how much income you and your partner could receive with a joint life annuity.

Key Features

  • Continues paying after first death
  • Flexible survivor benefit options
  • Can include guarantee periods
  • Optional inflation protection

How Joint Life Annuities Work

Survivor's Income Options

  • 100% Continuation: Same income continues to survivor
  • 66% Continuation: Two-thirds of original income
  • 50% Continuation: Half of original income
  • Custom Percentages: Other options available

Example Calculation

For a £100,000 pension pot:

  • Single Life: £5,500 per year
  • Joint Life (100%): £4,700 per year
  • Joint Life (50%): £5,100 per year

Factors Affecting Joint Life Rates

Age Considerations

  • Your age at purchase
  • Partner's age
  • Age difference between partners
  • Life expectancy factors

Health Factors

  • Your health conditions
  • Partner's health
  • Lifestyle factors
  • See our Enhanced Annuities guide for health-related rate improvements

Additional Options

Guarantee Periods

  • Ensures minimum payment period
  • Typically 5-10 years
  • Provides additional security
  • Affects initial rate

Value Protection

  • Return of unused capital
  • Protection for beneficiaries
  • Reduces income rate
  • Tax implications

Important Note

Once set up, you cannot change the joint life options or nominated partner. Choose carefully at the outset.

Advantages and Disadvantages

Advantages

  • Protects partner's financial future
  • Guaranteed income for both lives
  • Peace of mind
  • Tax-efficient inheritance

Disadvantages

  • Lower initial income
  • Cannot change partner
  • May be unnecessary if partner has own pension
  • Potentially complex options

Is a Joint Life Annuity Right for You?

Consider a joint life annuity if:

  • You have a financially dependent partner
  • Your partner has limited pension provision
  • You want guaranteed income for both lives
  • You can accept lower initial income

Get a Quote

Compare joint life annuity rates using our calculator to see how much income you could secure.

Alternative Options

  • Single life with longer guarantee period
  • Pension drawdown
  • Mix of annuity types
  • Life insurance alternatives

Next Steps

  • Discuss options with your partner
  • Compare rates from different providers
  • Consider enhanced rates if eligible
  • Seek professional advice