Budget: Income

Before deciding which annuity options or type of annuity to select it is a good idea to look at your likely income and expenditure in retirement to determine how much income you may need from an annuity; it may be possible to take less income in the early years because of a part-time job, in which case you might forego income early on for more income later; you may find that your income requirements reduce as you get older, in which case you might want to maximise your income from the start. Whatever your decision, consider the affect of inflation particularly if some of your income will not keep pace with inflation.