My fund offers a living or life annuity - how does this work?

If your retirement fund allows this option, you may be able to leave your benefit in the fund and draw a monthly pension from the fund. This means that you will become an In-fund annuitant.

The key advantages of this option are: 

• You don’t have to withdraw your money from the fund when you retire and possibly lose out in bad market conditions.
• You avoid the hassle of having to transfer your member share to buy a living or life annuity from another provider. 
• You pay low administration and investment fees.

You remain a member of the fund: 

• Although you have retired from the service of your employer, you have not retired from the fund and therefore you will still be a member of the fund.
• All your retirement savings (your entire member share) remains invested in the fund and continues to earn investment returns.  Your investments will now be used to pay you a monthly pension from the fund. 
• The fund’s General Rules still apply to you.

Transferring your money:

• You may at any time decide to transfer the balance of your member share to another provider to purchase an annuity (if this option is available).