Online Annuity Calculator UK

1. Select the calculation type (payment, present value, future value, or number of periods)
2. Choose whether payments are made at the beginning (annuity due) or end (ordinary annuity) of each period
3. Enter the required values based on your calculation type
4. Click "Calculate" to get your result

Note: This calculator uses UK financial conventions and displays results in GBP (£). For UK pension planning, consult with a qualified financial advisor.

An annuity is a financial product that provides a series of regular payments over a specified period. Annuities are commonly used for retirement planning, providing a steady income stream in exchange for an initial lump sum or regular contributions.

In the UK, annuities are a popular retirement income option, often purchased with pension savings. They can provide:

• Guaranteed income: Regular payments for a fixed period or for life
• Tax efficiency: Potential tax benefits depending on the type of annuity
• Security: Protection against outliving your savings

There are two main types of annuities:

• Ordinary Annuity: Payments are made at the end of each period
• Annuity Due: Payments are made at the beginning of each period

When planning for annuities in the UK, consider:

• Pension Freedom: Since 2015, UK pensioners have more flexibility in how they access their pension savings
• Annuity Rates: Rates vary based on age, health, and market conditions
• Tax Implications: Annuity income is typically subject to income tax
• Inflation Protection: Consider whether to choose a fixed or inflation-linked annuity
• Spouse Benefits: Joint annuities can provide income for a surviving spouse

Always consult with a qualified UK financial advisor before making decisions about annuities or pension planning.