Key facts

Income for Life is an innovative concept for taking an income in retirement. It's a capped drawdown pension plan.When we talk about Guarantees we mean the promise we make that the product or feature will deliver you a certain benefit.

• It offers a regular income level that’s protected from market downturns but also stands to benefit from growth.
• It does cost a bit extra as does anything you insure, however the cost will depend on where you choose to invest the money.
• Your fund remains invested, giving your income the potential to increase (although if your fund value goes down there will be less money available to buy an annuity).
• It provides the potential to leave your family an inheritance from your pension fund if you die.
• You can stay in the plan beyond age 75.
• If your income level exceeds the maximum limits (known as GAD limits), you can continue to take your income level through an Income for Life annuity. Your financial adviser will be able to give you more details on GAD limits.

What are the drawbacks?

• You’ll have to pay a charge to guarantee your income.
• Although your income is guaranteed, your fund value could fall to zero. You may get back less than originally invested.
• Any income you take from your Income for Life capped drawdown pension will be restricted by government limits called GAD limits. (Your financial adviser will give you information on how your own income could be affected.)
• Although your income is guaranteed, there are certain events which could cause it to fall:
  • You take more than your income level in any pension year.
  • A pension sharing order is made against your plan and part of the fund under your plan is to be paid to your former husband, wife or civil partner.
  • You surrender (cash in) some of your plan to buy a conventional annuity or transfer to another plan.
  • Your fund is more than your available lifetime allowance just before you buy an Income for Life Annuity. Your financial adviser will be able to explain your lifetime allowance to you in more detail.

AEGON plc is one of the worlds largest provider of pensions, investments and protection. We run a sophisticated, prudent programme that aims to allow us to honour the guarantees we make you. Your financial adviser will be able to give you full details of how we do this.

How to apply

Find out how to apply for our products and where you can find out more about the choices available to you.

How to apply

Plan today, enjoy tomorrow

Do you know how much you’ll need to live on when you retire? Our online tools can help you add up your current and future costs.