Baby boomers can retire comfortably knowing that they’ll be able to live off their pension plan for the rest of their lives. What some of them don’t know is that there are different kinds of plans, some of which can help increase their monthly receipts or reduce their future expenditures.
The basic type is the normal plan which calls for regular payments for a fixed period of time. These are usually made out at as five- year or ten- year plans. The pensioner’s family can receive the monthly receipt in case of death. Guaranteed term plans are similar to this except they pay off for the full lifetime of the pensioner. As with the normal plan, the family can still receive benefits if the plan holder passes away before the fixed term agreements.
A joint life plan pays benefits to a couple for as long as one of them is still alive. The rates can be much more affordable as there are different pension amounts when one spouse passes away. The couple’s family can still receive benefits within the agreed time, as with the other plans.
A single life deal will pay benefits for as long as the plan holder is alive. No benefits are given out after the person dies. A pension partner plan is similar to the joint life plan in that it guarantees a designated partner after the person’s death. These are just some of the possible options for a person looking for the best pension plan possible.
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