What are my withdrawal options at normal retirement age?

When you retire, you will have two options for receiving your retirement benefits:

  1. An annuity.
  2. A Retirement Savings Arrangement (RSA).

An Annuity

If you elect an annuity, all of your Silver Thatch Pensions Plan investments will be cashed in and the money used to buy an annuity. There are different types of annuities available, but in all cases an annuity guarantees you a fixed income for a period of time.

The amount of your annuity income will depend on a number of factors, such as the amount of money available to purchase the annuity, your age, the type of annuity you buy, and interest rates at the time of your annuity purchase.

If you have a spouse at the time of your retirement, your annuity must (by law) include a joint and survivor benefit. This will ensure that if you die before your spouse, the annuity will continue to pay your spouse a fixed, lifetime benefit.


A Retirement Savings Arrangement (RSA)

If you elect the RSA, payments will be made in accordance with a payment schedule issued by the Department of Labour and Pensions. There will be a minimum and maximum annual withdrawal amount that you can make based upon your age and pension account balance. The minimum annual withdrawal amount is CI$12,480.



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