Annuities for Men
Taking out an annuity is one of the biggest decisions that a person can make in their lifetime and as a result it is not a decision that should be taken lightly. When it comes to making a retirement decision, it is not always one that can be made alone and in fact most annuity plans are taken out as joint or couple annuities, but for people who are looking to take out an individual annuity then the question remains as to whether gender can have a big impact on annuity rates.
Does my gender affect my annuity income?
It could often be argued that gender directly has no effect on the rate of your annuity, in fact in many situations your health and lifestyle habits are more likely to affect your actual annuity income than your gender at all. But one thing that can be taken into consideration is a life expectancy and when it comes to determining an annuity rate, your life expectancy is an important consideration.
In general, men have a lower life expectancy than men and in most situations this is a difference of about three years, but when it comes to annuity incomes, that three years shorter life expectancy can make a difference and as a result a male and female of the same health could see a difference in annuity income due to a difference in life expectancy.
Is this about to change?
In recent years there has been a great deal of debate about the benefits that men can get when it comes to annuities, mainly due to their shorter life expectancy and as a result there are many proposals in place which would mean that men and women would be entitled to an equal annuity income, regardless of their life expectancy difference. This could have an impact on male annuity income rates in upcoming years and as a result it could encourage many men to take out their annuity plans quickly to avoid any consequences of such a court ruling.