A lifetime annuity provides regular payments for your lifetime in exchange for an initial capital investment, regardless of how long you live or how investment markets perform. Our lifetime annuities offer a number of options that you can tailor to meet your needs. You may:
- Choose how often you receive your regular payments (monthly, quarterly, half-yearly or yearly)
- Choose to provide regular payents for the lifetime of a second person
- Choose to have the regular payments adjusted fully or partially in line with changes in the consumer price index
- Choose to withdraw fully during the withdrawal period and receive a lump sum
Provides regular payments for your lifetime
Transfer Balance Cap
From 1 July 2017, there is a $1.6 million limit on how much of your superannuation can be transferred to an income stream in retirement phase known as the 'transfer balance cap'. This means the capital investment amount in a Challenger lifetime annuity purchased with superannuation money from 1 July 2017 will count towards your transfer balance cap when it commences.
The value of an existing Challenger lifetime annuity purchased with superannuation money as at 30 June 2017 will also count towards your transfer balance cap from 1 July 2017.
For further information on the transfer balance cap please refer to the ATO website or speak to your financial adviser regarding your individual circumstances. If you require an estimated value of an existing superannuation lifetime annuity, please call Investor Services on 133 566.
For more information, speak to your financial adviser, order or download a product disclosure statement or call our Investor Services team on 13 35 66.