help plan for retirement and offer the security of insurance.
Planning for retirement in advance has become a trend. The attention paid to this plan at a young age will help you in ensuring financial freedom at later stages of your life. This is the age, when there will be no regular income source such as what you have at present. There are different insurance companies, which have introduced dual benefit retirement plans, which offer insurance along with investment. To select the best of retirement i.e. Pension plan, there are certain important factors that you must take into consideration. There should be no overlooking of single fact because pension planning is the most important decision of your lifetime. Hence, you should conduct a fair market research, discuss with the experts and explore more about this field.
It is the age which you select to start receiving pension payment from.
The regular monthly income that you earn in terms of pension post vesting age
This amount is payable by the insurance company to the nominee in the event of death of the Insured person during accumulation period.
This is the time slot, when you invest funds in terms of premium to be accumulated to form a corpus for retirement.
This is the phase, when you start withdrawing money from your accumulated wealth.
Imposition of charges for the people leaving their Policy in the middle i.e. before the time of vesting.
Participating plans: These plan unfolds providing a certain percentage of insurer’s benefit to the insured individual. The share of profit varies as per the profit of the company.
These types of plans have inbuilt accumulation phase. During this phase, you are required to pay regular Premium for the specified period which is close to your retirement age and after this accumulation gets over or once you get retired, you start getting the pension income
This type of plan requires huge payment in one go i.e. lump sum payment and starts earning pension on immediate basis. With this plan, a person can easily manage a huge lump sum amount and earn monthly pension income if he invests this amount in the immediate annuity pension plan.
After knowing about these two major types of pension plans, you need to analyze their offerings and benefits with your requirements. This is the best way of getting best pension plan for you. Below are the major things you need to consider:
Once you are aware of all the above stated pointers and conduct a comparative and logical analysis amongst them, you can reduce complications and concentrate on selecting the best pension policy to ensure yourself a bright future. In fact, you can get online pension plan for yourself to save time.