If you want to get an idea of how much you can get from investing in an annuity, you can try using a best annuity rates calculator.

Annuity calculators are very helpful tools which you can find online, and can serve as guides in helping you find the best annuity rates in the UK.

Indeed, these tools can help you plan financially for your retirement by providing you with annuity quotes or estimated annuity returns from various companies based on the information you have provided.

There are different types of annuity rate calculators available, with some designed for specific types of annuities and some asking for more information than others.

The more information a calculator requires, the more accurate its projected rates are likely to be, since it takes more factors into consideration.

The most common types of information a best annuity rates calculator requires include:

- Gender
- Age or birth date
- Address or postcode
- Size of pension fund or purchase price
- Marital Status
- Age or birth date of spouse if married
- Desired escalation rate
- Payment frequency
- Payment timing – Advance or Arrears
- Desired guarantee period

Some calculators even ask questions, such as whether or not you smoke, are taking medications or are in poor health. If you answer yes to these, the calculator will provide you with enhanced annuity rates, which are some of the best annuity rates available.

Enhanced annuities are a special type of annuities reserved for those with reduced life expectancy, either due to a medical condition or to certain lifestyle habits like drinking and smoking. The average length of an enhanced annuity is about ten to fifteen years, and so its rates are 20% to 40% higher than the standard life pension annuity.

Before you use an annuity calculator, then, it is important to know what type of annuity you are thinking of getting and which features or options you would like. Annuities, after all, are very flexible and can be designed to ideally suit your financial needs and circumstances.

If you are not a risk taker, you can go for a fixed annuity, which means there is no escalation rate and the amount of the return remains the same, but if you want high returns that cover the rate of inflation, you should consider a variable annuity or an escalating annuity.

Having a spouse also does not automatically mean you should go for a joint annuity. Rather, you should consider the financial circumstances and life expectancy of your spouse, too, bearing in mind that if you get a joint annuity, you will get lower annuity rates.

To make sure you get the right type of annuity and the best annuity rates in the UK, ask for professional financial advice. While a best annuity rates calculator can help you in your financial planning, only a financial adviser can give you accurate annuity quotes and assist you in choosing the provider and product that is best for you.

Please note: We offer a free no-obligation annuity company comparison service. Indeed, by taking a few seconds to provide us with some information, we can arrange for an annuity adviser to contact you and give you free quotes and advice on how to find the best annuity rates.

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In order to find the best annuity rates in the UK, you have to check with the best annuity companies. But what exactly makes a good annuity provider?

1. High credit ratings. These indicate a company’s credit quality or financial stability. It is very important to go with a company that is financially stable since this means your investments will not go down the drain, but rather provide high returns.

In the UK, the most reliable credit rating companies are Standard & Poor’s and Moody’s.

2. Experience. Find out when the company was established. If the company has been around a long time, chances are it knows what it’s doing.

3. Product range. What products does the company offer? Does it specialize in annuities or does it offer other investment products as well? What types of annuities does it offer?

4. Large investor base. The best annuity companies usually have a lot of investors or customers, and manage billions of pounds in funds every year, a testament to their good investment skills and decisions and their excellent service.

Based on this criteria, here are the best annuity companies in the UK.

Prudential Assurance – Established in 1848, Prudential is one of the leading names in the UK financial market. In fact, it is the top provider of pensions and annuities in the UK with over a million clients.

It also has solid ratings – AA from Standard & Poor’s which translates to a very strong capacity to meet financial commitments, and Aa2 rating from Moody’s, which indicates high credit quality and a very low credit risk.

Aviva – Aviva is the sixth largest insurance group in the world and the leading provider for life insurance in the UK. It is also a top annuity provider, providing standard pension annuities and enhanced pension annuities to around 750,000 customers. It has an AA rating from Standard & Poor’s and an Aa3 rating from Moody’s, which is still very good.

Canada Life – Canada Life is a subsidiary of Canada-based Great-West Lifeco Inc which was established in the UK in 1903. It also has good ratings – AA from Standard & Poor’s and Aa3 from Moody’s.

Liverpool Victoria – Established in 1843, Liverpool Victoria is the oldest mutual insurance company and the largest friendly society in the UK. It offers standard pension annuities and with profits pension annuities.

Just Retirement – Just Retirement is a company owned by Avalon Acquisitions and backed by one of Europe’s largest private equity investors. Based in Surrey, it is also the leading provider of enhanced annuities in the UK.

To see if you qualify for an enhanced annuity rate please fill in our free no-obligation annuity form. Indeed, by taking a few seconds to provide us with some information, we can arrange for an annuity adviser to contact you and give you free quotes and advice on how to find the best annuity rates.

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