£22,000 a year when you retire, or £450,000 today?*
Ahmed is 57 and lives in Edinburgh with his long-term partner Sharon who is also 57. They are both in good health and intend to retire when they both reach age 65. He would like to have the flexibility to access his pension as it is his only source of income in retirement.
Ahmed’s pension will offer him £22,000 per year, or a transfer value of £450,000.
Whilst the transfer value is attractive, Ahmed has no other assets to rely on in retirement, and therefore retaining the guaranteed income in his final salary pension scheme is the best solution as it will provide him with security in retirement.