This is the final article in a series that summarises findings from Just Retirement Insights 2024, a tracking study conducted by retirement income specialist, Just SA.
The findings of Just Retirement Insights 2024 indicate a very real need for income certainty in retirement.
When asked what they would most like from their retirement income, respondents showed a strong preference for retirement income that will last throughout their lifetime, keep pace with inflation, and be minimally impacted by market volatility. Interestingly, these features are characteristics of most types of life annuities.
A life annuity provides a regular monthly income stream in retirement for the rest of your life and doesn’t require you to manage the underlying investments year on year. This steady passive income can protect a retiree from some of the worries about retirement income covered in the survey, such as inflation, increased life expectancy, and dementia.
Retirees wanting some investment flexibility can consider a blended annuity, which offers a life annuity as an investment portfolio inside a living annuity.
Just SA recommends getting advice from a qualified financial adviser if you:
- Need help understanding the retirement income options available – life, living and blended annuities;
- Want to take account of your personal financial circumstances;
- Are considering how your retirement savings can be used with other savings and investments to meet your financial needs;
- Need to consider the tax implications of your choices.
Becoming informed and taking control of your finances will help you to retire with more confidence.
Read the full report here: https://retirementinsights.co.za/
PERSONAL FINANCE